In the present article we are discussing the possibilities available for the employers in the coronavirus pandemic circumstances when their activity is restricted and they cannot (entirely) bear the ...employees related costs anymore. There are other possibilities that were not included in the article, such as pay cuts for a certain period of time, as a result of an agreement between the employee and the employer. The article is useful for all employers, regardless if they are a legal or a natural person who operates through one of the forms stated by law.
IT industry is noticeably distinguished by the tax support provided to it in the Russian economy. Nowadays software companies are treated as main contributors to national technological breakthrough ...being one of the main priorities of federal tax policy. Tax maneuver of 2021 significantly changed well-known tax rules, but some of novelties became a logical development of previously implemented measures. We systematize them by following our classification that introduces three main phases, all of which provided a qualitative update of the previous taxation framework, and for analysis consider particular reliefs as a unified, specific tax regime integrated in the general taxation system. The purpose of the article is to identify priorities and evaluate effectiveness of mechanisms designed to stimulate IT companies, including a preliminary assessment of valid perimeter and performance of the maneuver. Obtained results indicate that the tax regime initially given to software business had a bad design, an extremely narrow scope of beneficiaries and, due to this, a little effect on the IT industry; modernization of that design with the revision of basics was necessary at least in order to stop the decline of IT industry in the part of small companies. However, the main trend of recent tax policy demonstrates a strengthening of sustainable business with comparative fall of competitiveness of beginning entrepreneurs. In sum, the tax maneuver has a positive economic impact but covers, according to our estimates, less than 20% of IT companies.
The purpose of the paper is to review and evaluate selected tax burdens and reliefs between Slovakia and Ireland in relation to a specific type of globally successful innovative company introduced to ...scientific literature as “hidden champion” (HC) by Simon (1990). In the process of writing the work, the following methods of comparison, logical generalization, analysis, and synthesis were used. The results showed that both countries lack in providing specific regime in research and development (R&D), corporate income, and value-added tax (VAT) aspects to small and medium-sized enterprises (SMEs) (including HCs). Moreover, as reported by Ibec (2019), small companies face several challenges to their growth due to taxation. A parallel view on two countries (tax heaven and a classic approach country) provides a great prospect on all gaps in the taxation system. Although improvements are predicted and confirmed every second year, tax policy in the analyzed countries is not fully matched to current situations. The work reveals for the first time the fact that there are few specialized programs for SMEs, getting an exemption or applying for relief is difficult. In general, there is a lack of studies devoted to taxes within the concept of “hidden champions”. This paper contributes to this field from the perspective of policymaking, and it provides valuable insight for practice.
Tax Impact on Household Income Pavlova, Mariyana
Economics and Business,
8/2016, Letnik:
29, Številka:
1
Journal Article
Recenzirano
Odprti dostop
The household income is an important economic indicator because it determines the scale of the household sector consumption and its delay in future in terms of saving and investing. Many factors ...influence the magnitude of household income and one of these factors is taxation. Given the significance of tax payments not only for household income, and through them – for the national economy, the object of the current study is the household income and in particular the impact of the taxation framework on the formation of disposable income. The aim of the study is to examine the changes in the monetary income of households in the Republic of Bulgaria as a function of the implemented tax reforms in the period following the country’s accession to the EU.
The publicly funded screen development agency, Northern Ireland Screen, has been the key institutional actor in the exponential growth of the screen industries in Northern Ireland. The most prominent ...production to be based in Northern Ireland has been Home Box Office’s Game of Thrones, which had much of its eight seasons filmed in the region. Significant amounts of public finance have been offered to the screen industries, with direct funding provided to augment United Kingdom-wide tax breaks. However, there has been a lack of critical analysis of the recipients of this finance, on the precarious nature of many of the jobs that have been created, or on the stated benefits to the economy. This article subjects the role of Northern Ireland Screen to policy analysis to attempt to fill this scholarly gap. Setting the subject into the context of public support for film and television across the United Kingdom, it is argued that the economic argument for providing direct financial support to the screen industries needs to be viewed in the context of the overall impact on society.
Capital allowances play a crucial role in enabling businesses to claim tax relief on specific capital expenditures, reducing their taxable profits and overall tax burden. However, the current manual ...process for managing capital allowance claims is time-consuming and complex, particularly for small and medium enterprises (SMEs) that often lack access to expert consultation. Furthermore, the distinct nature of construction expenditure on buildings adds to the complexity, with unique costs and data for each property and project. These challenges underscore the necessity for the development of automated technologies and systems for capital allowance assessment. To address these challenges, we present the development of an automated capital allowance assessment system comprising three key components: a capital allowance expert system, a tax coding system, and an integrated web-based application. The capital allowance expert system covers the entire process of capital allowance assessment, leveraging rules and procedures extracted from standardised processes and expertise. The tax coding system automatically classifies textual costing items into corresponding tax codes, addressing the complexity of capital allowance rules and frequent legislative changes. The integrated web-based application offers an interactive experience for data gathering, analysis, coding, and report generation, providing a comprehensive solution for efficient and accurate capital allowance assessment. This automated system addresses the complexities and inefficiencies associated with manual capital allowance assessment. It potentially benefits tax authorities in standardising and streamlining allowance assessment processes while fostering economic growth through accessible services for SMEs and promoting environmental sustainability by encouraging energy-efficient practices.
We estimate the effect of tax rebates offered by Canadian Provinces on the sales of hybrid electric vehicles. We find that these rebates led to a large increase in the market share of hybrid ...vehicles. In particular, we estimate that 26% of the hybrid vehicles sold during the rebate programs can be attributed to the rebate, and that intermediate cars, intermediate SUVs and some high performance compact cars were crowded out as a result. However, this implies that the rebate programs also subsidized many consumers who would have bought either hybrid vehicles or other fuel-efficient vehicles in any case. Consequently, the average cost of reducing carbon emissions from these programs is estimated to be $195 per tonne.
The authors work closely with academia and governmental organizations in the UK and abroad to develop new, innovative schemes for social impact investing. Such schemes include considerations for ...public-private collaborations, legislative actions, and especially in this case, for the leveraged use of public and philanthropic funds in Crowdfunding (CF). The relatively new phenomenon of CF can not only provide necessary funds for the social enterprises, it may also lead to a higher legitimacy of these through early societal interaction and participation. This legitimacy can be understood as a strong positive signal for further investors. Governmental tax-reliefs and guarantees from venture-philanthropic funds provide additional incentives for investment and endorse future scaling by leveraging additional debt-finance from specialized social banks. This case study identifies idiosyncratic hurdles to why an efficient social finance market has yet to be created and examines a schema as a case of how individual players' strengths and weaknesses can be balanced out by a concerted action. The paper discusses the necessary actions, benefits and implications for the involved actors from the public, private and third sector.
The proposed Automatic Enrolment Retirement Saving (AE) Plan will fail to make a significant impact on pensions in Ireland unless three actions precede its introduction. First, we show that the ...existing tax reliefs for other pension arrangements are considerably more valuable than the 33% subsidy to contributions to the AE Plan for higher rate taxpayers. To create a level playing field for the new AE Plan, we recommend qualifying contribution levels be equalised and that tax relief on contributions to other pension arrangements be abolished, replaced with the common 33% subsidy. Second, a key selling point of the AE Plan is its low charges, considerably lower than individual private plans. However, low charges are not a particularly strong force shaping the pension landscape, even though such efficiencies accumulate to deliver materially higher pensions over the long term of pension savings. We recommend that selling practices of pensions are better aligned to the interests of the pension saver. This can be achieved by banning commission on pension products and by requiring illustrations of the size of the pension fund at retirement to be explicitly compared with that expected from the AE Plan. Third, the new AE Plan has the potential to solve the legacy issues that the run-off of defined benefit schemes poses to the State and to sponsoring employers. We propose that the AE Plan be open to transfers from such schemes, to help manage the contingent liability of the State and to help build a partnership in pensions with employers. Indeed, the AE Plan should be open to transfers from any existing pension arrangement, if it is in the best interest of the individual. While these three reforms will assist in preventing the failure of the AE Plan, alone they may not be sufficient to ensure its success. The introduction of the AE Plan is obviously good for pension savers but it also has the potential for disruptive change in the pension industry, which to date has been successful in resisting reform. Keywords: pension system, tax relief, fiscal welfare, regulation, Ireland JELs: D18, H23, I38, J32, J78
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