By the end of 2004, domestic tax revenues were 37 per cent higher than in 2003 non tax revenues similarly increased by 21 per cent, excluding profit transfers from the Palestinian monetary fund.

China could usefully explore shifting part of the burden from labor toward property, capital gains, and inheritance taxes. Larger dividends paid to the budget from the highly profitable state enterprise sector could also provide an alternative source of funds.

One key idea was to lighten the tax burden on labor . Taking into account the personal income tax and various social contributions, taxation of labor income in China is too high . To be sure, taxes are needed to finance social spending, but revenue sources other than taxes on labor income could do the job. China could usefully explore shifting part of the burden from labor toward property, capital gains, and inheritance taxes.

A shift to a territorial system of taxation would remove the disadvantages faced by American multinational corporations and encourage them to reinvest their overseas profits at home, increasing US employment and profits. Because only a small share of overseas profits is now repatriated, the US government would lose very little tax revenue by shifting to a territorial system.

If the long revenue recovery process is taken into account, this profit rate could hardly beat the inflation.

In exchange for shifting to a territorial system and reducing the tax rate, the federal government could tax all of these untaxed past earnings at a low rate to be paid over a ten year period. Companies would then be free to repatriate their pre existing earnings without paying any additional tax, while future foreign earnings could, as in other countries, be repatriated by paying a low 5 tax.

This entails abandoning the prevailing dogma that taxes should only be increased when absolutely necessary. This stance assumes that lower tax rates raise the tax GDP ratio by ensuring better compliance with tax laws, and favors indirect taxation (such as value added taxes) in order to broaden the tax base to include those with modest incomes.

Under current law, US corporate profits are taxed at a rate of 35 the highest rate among OECD countries, where the average is 25 . That tax is paid on profits earned in the US and on repatriated profits earned by US companies foreign subsidiaries.

And 2004, the net profit, after taxes very serious taxes was 120 million dollars.

A recent study found that taxing capital gains and dividends as ordinary income, subject to a maximum 28 rate on long term capital gains (the pre 1997 rate), could finance a cut in the corporate tax rate from 35 to 26 . Such a change would reduce corporations incentives to move investments abroad or shift profits to low tax jurisdictions, while increasing the progressivity of tax outcomes by shifting more of the burden of corporate taxation from labor to capital owners.

For these reasons, Obama is championing a revenue neutral reform that would leave corporate tax revenues unchanged, with the proposed rate cut financed by limiting deductions, credits, and loopholes, which would broaden the tax base.

Reducing the tax preferences for non corporate business entities (such as partnerships) that pass their income through to their owners individual returns would also broaden the tax base subject to the corporate income tax. Pass through companies now account for more than 80 of net business income (by far the highest share in the developed countries).

There's the airplane ticket over and import duties, hidden taxes, profit markup...

(31) As regards income tax expenses, it is required to make disclosure of the composition of income tax expenses (proceeds), including current income tax and deferred income tax it is also required to make disclosure of the relations between income tax expenses (proceeds) and accounting profits.

Republicans have proposed tax reforms in lieu of rate hikes on high income taxpayers to raise revenues for deficit reduction. Obama has signaled that he is willing to consider this approach, provided it increases tax revenues from the top 2 3 by at least the same amount as higher rates while protecting other taxpayers.

They may include disrupted production due to the absence or higher cost of sanctioned supplies, suspended financial inputs and services, foregone profit tax or tariff revenues, lost jobs or income and the ensuing increase in social expenditures.

The fact that a large share of business income is currently taxed as personal income makes it difficult to separate corporate tax reform from personal tax reform, as Obama and members of Congress would prefer to do. Moreover, keeping the two areas of reform separate rules out the approach adopted by several other developed countries, which have offset some of the revenue losses from cutting corporate tax rates by increasing taxes on corporate equity income at the personal shareholder level.

For example, the subsidiary of a US firm that operates in Ireland pays the Irish corporate tax of 12.5 on the profits earned in that country. If it repatriates the after tax profits, it pays a 22.5 tax (the difference between the 35 US rate and the 12.5 tax that it already paid to the Irish government).

First, executives for whom shared profits already account for a significant portion of income may resist programs that distribute profits to more workers, fearing that their own income would decline. Even when such programs increase overall profitability, they could reduce the profits going to top management and shareholders.

Revenue from businesses and entry taxes

Private venture capitalists cover their losses from failed investments with their profits from those that succeed but government programs are rarely set up to generate significant returns. While some argue that the government s return comes through taxes, the current tax system is not working, owing not only to loopholes, but also to rate reductions.

Quite the opposite of the World Bank, who compiled data with government money, tax money, and then they sell it to add a little profit, in a very inefficient, Gutenberg way.

Taxes, revenues, uncollectible taxes and tax credits

In case the pretax profit gained within the prescribed number of years is insufficient to fetch up the loss, such losses shall be fetched up with the after tax profit gained in the following years or with the surplus reserves after being discussed by the investors.

For the first time since Dayton, new revenue distribution arrangements (customs revenues and most excise and sales tax revenues) have been launched.

But a rate cut would be costly in terms of foregone revenues each percentage point would reduce corporate tax revenues by about 100 billion over the next decade. Moreover, recent studies indicate that a significant share of the corporate tax burden falls on capital, so a reduction in corporate taxes would weaken the progressivity of the tax system at a time when income inequality is at an all time high.

Eliminating special interest loopholes, like tax breaks for oil and gas, or for corporate jets, would not yield enough revenue to pay for a meaningful rate cut. And curtailing accelerated depreciation, the manufacturing production deduction, and the R amp D tax credit which account for about 80 of corporate tax expenditures would involve significant tradeoffs.

Eliminating special interest loopholes, like tax breaks for oil and gas, or for corporate jets, would not yield enough revenue to pay for a meaningful rate cut. And curtailing accelerated depreciation, the manufacturing production deduction, and the R D tax credit which account for about 80 of corporate tax expenditures would involve significant tradeoffs.

30. The Government has reformed the tax structure, reducing overall rates while widening coverage through improved efficiency in collection.

This has been achieved through the composite process of extensive welfare transfers, fixing minimum wages through income, gift, wealth and turnover taxes and ceilings on ownership of land, house property, income and wealth.

Other States may resort to laws prohibiting tax evasion, given that this illegal income is neither declared nor taxed.

This disincentive disappears if the corporate tax base is decoupled from current profits and linked to some broad measure of activity. Indeed, this would create an incentive for each company to outperform the average, since above average profits would go untaxed.

1. Income tax.

Ideally, the reinvestment of profits, or the absorption of profits by fiscal measures and their utilization for financing development, should provide channels to bolster investment, incomes and savings.

There are no income, estate or capital gains taxes.

To ease the constraints on household income, China needs more rapid exchange rate appreciation, liberalization of interest rates, and a much sharper increase in wage growth. More importantly, China needs either to privatize its SOEs, so that their profits become income for households, or to tax their profits at a far higher rate and transfer the fiscal gains to households.

These revenue losses could be offset by curtailing so called corporate tax expenditures deductions, credits, and other special tax provisions that subsidize some economic activities while penalizing others and broadening the corporate tax base. Both President Barack Obama s plan for business tax reform and the Simpson Bowles deficit reduction plan propose reducing such expenditures to pay for a reduction in the corporate tax rate.

The expected profits can be held down by allowing exchange rates to be changed before speculative pressures build.

The first conclusion of the report was that global environmental taxes and the Tobin tax on currency transactions could yield substantial revenues at a very low tax rate.

Excessive state spending, heavy regulation, and dangerously high taxes have helped create the state s economic woes. The top personal income tax rate (also levied on capital gains), the sales tax rate, the corporate tax rate, and the gas tax are all at or near the highest of any state.

Other income consists mainly of interest income, gains losses as a result of exchange rate movements and other miscellaneous items.

But, while these additional tax revenues would improve Europe s public finances, they would not obviate the need to reform the welfare state. Indeed, at best, they could facilitate a socially responsible transition to more efficient forms of social protection.

In 1999, when Laar became Prime Minister again, he abolished the tax on corporate profit, which was harming entrepreneurship. As a consequence of the ensuing tax competition, corporate tax rates have fallen to 15 25 in most European countries.

From the perspective of measurement and calculation of personal tax reduction for Shanghai taxpayers in the earlier stage, the broad masses of taxpayers will fully experience the benefits of the personal income tax reform, especially the lower and middle income people, who will see more significant tax reduction.

The rates applicable to individual residents in Gibraltar range from 20 per cent on the first 1,500 of taxable income to 50 per cent after the first 19,500.