Accounting Tax

taskation 2011/12 Week 2 Lecture notes Concepts of Taxation knowledgeableness The nation should have a appraise system which looks homogeneous someone designed it on purpose William Simon 1977 (J&N:131) ..governments put on revenue enhancementation to achieve goals new(prenominal) than simply raising revenue (J&N: 133) One of the difficulties of revenue re ope set up is to mark off that the proposed reform is likely to support the relevant policy goals in practice and to do so without unintended and undesirable side-effects (J&N: 133) Problems in designing a taxation system: What to tax Who to tax hardest How give people react When will changes sympathize effect Desirable characteristics of a tax system It is congenital that you are acquainted(predicate) with Adam Smiths canons of taxation (LO page43 onwards). These will form the basis of seminar 2. Equity: a tax should be seen to be fair in its affect on every last(predicate) individuals.

Tax should be levied according to peoples taxable capacity consequence: the tax endureer should know his tax liability and when and where to pay it dodge: it should be easy for the taxpayer to pay what they owe Efficiency: t he tax system should not have an impact on t! he parcelling of resources and it should be cheap to administer Others Simplicity Flexibility Aspects of truth Horizontal equity: taxpayers with equal taxable capacity keep going the same tax core (employed/self-employed) Vertical equity: those with great capacity bear a higher tax burden (high paid/ belittled paid) reformist taxes are seen as fairer Progressive: Where marginal rate exceeds average rate so that the counterpoise of income taken in tax rises as income rises Regressive: ...If you necessitate to get a full essay, order it on our website: BestEssayCheap.com

If you want to get a full essay, visit our page: cheap essay