scholarly journals THE IMPACT OF COVID-19 ON TAX ADMINISTRATION IN THE REPUBLIC OF CROATIA

2021 ◽  
Author(s):  
Renata Perić ◽  
Emina Jerković
Keyword(s):  
Detailed Analysis ◽  
Income Tax ◽  
State Institution ◽  
Tax Administration ◽  
Tax Rate ◽  
The Republic ◽  
Deferred Tax Liabilities ◽  
Deferred Tax ◽  
The Impact ◽  
New Situation

The crisis and special measures caused by the Covid-19 virus pandemic have greatly disrupted the business and survival of small and medium-sized enterprises, as well as larger industries. The state and its institutions were forced to take certain measures to facilitate the survival and continuation of business, and to save jobs for entrepreneurs and their employees. The Tax Administration is a state institution whose measures directly affect every business. So it was among the first to take some measures, i.e. to adjust its business and tax collection to the new situation. This paper discusses the first measures introduced, those from March and April 2020. It discusses the deferral or installment payment of due and deferred tax liabilities. The measure of deferral, installment payment of tax liability, is certainly the most important and most popular measure among taxpayers. It is explained how tax measures during a pandemic should look according to the recommendations of the Organization for Economic Co-operation and Development (OECD). We explain other measures that have been introduced to facilitate business. These are the extension of the deadline for filing income tax, the exemption from VAT, the enforcement procedure and the payment of the annual tax rate. Despite the measures taken so far, it is important to emphasize that the Covid-19 pandemic is still ongoing, and that according to some experts, a real crisis with visible consequences of the pandemic is still to be expected. Accordingly, it is to be expected that the current measures are very likely to be further changed, upgraded and adjusted as the situation changes. We consider it important to note that the framework of this paper does not allow a detailed analysis and that we are forced to limit ourselves exclusively to some aspects of the issue at hand.

scholarly journals DEFERRED INCOME TAX: IMPACT ON FINANCIAL AND TAX REPORTING (THE PRACTIСE OF UKRAINE AND GERMANY)

2021 ◽  
Vol 4 (39) ◽  
pp. 138-148
Author(s):  
O. Malyshkin ◽  
S. Rohoznyi ◽  
O. Yarmolitska ◽  
Yu. Ostapenko
Keyword(s):  
Financial Reporting ◽  
Income Tax ◽  
Jel Classification ◽  
International Standards ◽  
Tax Base ◽  
Deferred Tax Assets ◽  
Deferred Tax Liabilities ◽  
Deferred Tax ◽  
Tax Reporting ◽  
The Impact

Abstract. Income taxation is typical for most countries with their own peculiarities. In the practice of the Ukrainian enterprises, there is a lack of relationship between accounting and tax accounting to reflect the deferred tax asset and deferred tax liability in the reporting. The purpose of the article is to analyze the income tax in terms of its calculation by the international standards and identify key tax differences. The authors proposed to formulate the definitions of the current income tax which should be understood as the amount of income taxes payable (reimbursed) on taxable profit (tax loss) for the period and expenses (income) from income tax which should be understood as the total amount included in the determination of profit or loss for the period in accordance with current and deferred taxes. This interpretation of the definitions will help better understand the concepts in accounting and taxation. The tax base of assets and the tax base of liabilities are given and substantiated. The temporary differences were identified by authors. The example of definition of Deferred tax liabilities and Deferred tax assets, the order of their reflection in the report on financial results (about the total income) and disclosure in the Notes to the financial reporting is considered and analyzed. The impact on the indicators of the Income Tax Return is investigated. There is no direct impact of the amount of the Deferred tax assets / Deferred tax liabilities according to the current algorithm for the object of taxation, which is determined by tax legislation. The conclusions are made about the importance of determining of Deferred tax liabilities and Deferred tax assets, which directly affects the amount of net profit. The result of the study was confirmation of the hypothesis concerning different orientation of norms of the legal documents on the display of information in the forms of the financial and tax reporting. Such differences are related to the different requirement to the reporting by the modern stakeholders. Keywords: income tax, deferred tax, tax asset, tax liability, reporting. JEL Classification M40, М41, М48 Formulas: 0; fig.: 2; tabl.: 5; bibl.: 16.

scholarly journals PENGARUH PERUBAHAN TARIF PAJAK PENGHASILAN BADAN TERHADAP RETURN SAHAM DENGAN LIABILITAS PAJAK TANGGUHAN SEBAGAI VARIABEL INTERVENING PADA PERUSAHAAN MANUFAKTUR YANG TERDAFTAR DI BEI (Periode 2008 – 2010)

InFestasi ◽  
2016 ◽  
Vol 12 (1) ◽  
pp. 98
Author(s):  
Galih Rhendra Putra ◽  
Heru Tjaraka
Keyword(s):  
Stock Returns ◽  
Income Tax ◽  
Stock Exchange ◽  
Corporate Income Tax ◽  
Tax Rates ◽  
Manufacturing Companies ◽  
Tax Rate ◽  
Analysis Technique ◽  
Deferred Tax Liabilities ◽  
Deferred Tax

<p><em>This research aimed to test whether there is the effect of changes in corporate income tax rate to return stock with deferred tax liabilities as an intervening variable. Changes in corporate income tax rates expected to have an indirect effect on stock returns. </em></p><p><em>Variables used in this research include the change in the corporate tax rate as independent variables, stock returns as dependent variable and deferred tax liabilities as an intervening variable. The population used in this research were all manufacturing companies listing on the Stock Exchange in the period the change in corporate income tax rate is 2008-2010. Data were analyzed using path analysis technique to assess causal relationships between variables that have been set. </em></p><em>The results of this research indicate that the phenomenon of corporate income tax rate changes have no significant effect either on the deferred tax liabilities and stock returns, while deferred tax liabilities had a positive effect on stock returns. Results of this research concluded that the deferred tax liabilities can not be a mediator or intervening variable between corporate income tax rate changes and stock returns.</em>

scholarly journals ASSESSMENT OF FAVOURABLENESS FOR THE TAX SYSTEM OF UKRAINE IN THE INTERNATIONAL CONTEXT

2019 ◽  
Vol 5 (2) ◽  
pp. 124 ◽  
Author(s):  
Valentyna Martynenko
Keyword(s):  
Income Tax ◽  
Corporate Income Tax ◽  
Tax Administration ◽  
Tax Rates ◽  
Tax System ◽  
Tax Rate ◽  
The Government ◽  
Tax Payments ◽  
The Impact ◽  
Average Index

The purpose of the article is to study the background and key factors that ensured an increase in the ranking of the Ukrainian tax system favourableness from the 174th position to the 43-d position during 2005–2016 – the greatest progress in the whole history of the “Paying Taxes” ranking. Methodology. The research was made on the basis of the countries ranking method according to the tax system favourableness, conducted by the World Bank together with the consulting firm PricewaterhouseCoopers for the implementation of the annual “Paying Taxes” ranking. The ranking is based on the analysis of: taxes and mandatory deductions that a typical medium-sized enterprise must pay in the concerned year; the administrative burden connected with the payment of taxes and deductions; processes after filing and paying taxes. Another method used in the article is the regression analysis of the impact of the unified social tax rate, the corporate income tax rate, the personal income tax rate, the volume of tax revenues, consolidated budget revenues and gross domestic product (GDP) in actual prices on the ranking position of Ukraine in the “Paying Taxes”. Results. In course of the study, it was found that the increase of the ranking of Ukraine from the 174th to the 43-d position in the “Paying Taxes” during 2005–2016 became possible due to the liberalization of taxation for 2013–2017, in particular, the reduction of the corporate income tax rate by 7% and the unified social tax rate by 10%. Other factors are as such: improving the tax administration quality: reducing the time for registration, filing and tax payment from 2185 hours in 2005 to 328 hours in 2016, with the worldwide average index of 240 hours per year; reducing the number of tax payments from 98 in 2005 to 5 (the worldwide average index is 24 payments) in 2016. Practical implications. The result of the effective tax policy of the Government of Ukraine was the reduction of the total tax burden on business from 60.3% in 2005 to 37.8% in 2016 at the worldwide average index of 40.5% at the end of the investigated period. Also, during 2005–2016, the consolidated budget revenues grew from 131.3 to 782.7 billion UAH, including tax ones – from 100.7 to 650.8 billion UAH. Value/originality. Based on the results of the study, the author substantiated that the main factor of the significant progress of the tax system of Ukraine in the “Paying Taxes” ranking (from the 174th to the 43-d position during 2005–2016) was the liberalization of taxation by reducing the tax rates of corporate income tax and a unified social tax, as well as improving the quality and efficiency of tax administration.

scholarly journals Evaluation the impact of the personal income tax reform in the Czech Republic in 2021 on effective tax rate and tax progressivity

2021 ◽  
Vol 7 (2) ◽  
pp. 134-145
Author(s):  
M. Krajňák ◽  
Keyword(s):  
Income Tax ◽  
Tax Reform ◽  
Personal Income ◽  
Personal Income Tax ◽  
Effective Tax Rate ◽  
Tax Base ◽  
Tax Rate ◽  
Tax Progressivity ◽  
The Impact ◽  
Income Tax Reform

Legislation governing personal income taxation is often subject to changes. A significant personal income tax reform was carried out in the Czech Republic in 2021. The reform implements a progressive tax rate, changes the way the tax base is determined, and increases the tax relief for the taxpayer. The aim of the article is to evaluate the impact of the personal income tax reform on the effective tax rate and tax progressivity. To that end, methods of regression analysis have been used. The source of information for analysis was the data published by the Czech Statistical Office. It was found that in 2021, in comparison with 2020, the tax burden represented in this study by the effective tax rate, in all cases became lower, approximately by 5%. The main reason for this decline is the adjustment of the method of construction of the tax base, which, for the first time in the history of the Income Tax Act, is gross wages. Until the end of 2020, the tax base was a super-gross wage, or the gross wage increased by social security contribution borne by the employer at his costs. The second factor that reduces the tax burden is a CZK 3,000 increase in the deduction per taxpayer per year. This fact increases the degree of tax progressivity, as confirmed by the results of the progressivity analysis and the regression analysis. The changes that have taken place in the personal income tax this year have a positive impact on the taxpayer, but from the point of view of the state, this reform has reduced the state budget revenues.

scholarly journals THE IMPACT OF THE PANDEMIC CRISIS ON SALES BUSINESSES – CASE STUDIES

2020 ◽  
Author(s):  
Sandra Mrvica Mađarac ◽  
◽  
Marko Eljuga ◽  
Zvonimir Filipović ◽  
◽  
...  
Keyword(s):  
Crisis Management ◽  
Social Life ◽  
Working Hours ◽  
Civil Protection ◽  
Agricultural Machinery ◽  
Online Sales ◽  
Entire World ◽  
The Republic ◽  
The Impact ◽  
New Situation

The entire world is facing with the impact and consequences of the COVID 19 pandemic, what is reflected in various spheres of social life. In the conditions of the crisis management, companies are forced to adapt to the new situation in order to survive on the market. Sales companies have had to make changes in their former business; namely in their organization, logistics, retail supply channels that are now oriented towards the online sales without contact when delivering to customers. The Civil Protection Headquarters of the Republic of Croatia has brought a Decision by which are regulated the working hours and the method of work in the trade business during the Coronavirus epidemic, according to which it is obligatory for all stores to organize their work in compliance with general anti-epidemic measures and special recommendations of the Croatian Institute of Public Health. In the paper are listed and analyzed changes in the sales operations of the two companies due to the pandemic crisis; one company deals with the sale of agricultural machinery and the other with the sale of food products.

scholarly journals Comparison of Income Tax Base in Visegrad Countries

2021 ◽  
Vol 16 (2) ◽  
pp. 101-110
Author(s):  
Jana Hinke ◽  
Tomáš Rain ◽  
Barbora Hrabovská
Keyword(s):  
Literature Review ◽  
Income Tax ◽  
Corporate Tax ◽  
Tax Base ◽  
Tax Rate ◽  
The Disabled ◽  
The Impact ◽  
Visegrád Countries ◽  
Calculation Procedures

Abstract The objective of the research was to compare the procedures for the calculation of income tax in the Visegrad Four (V4) countries. The statutory income tax calculation procedures are very similar in the V4 countries. Particular systems differ parametrically. Based on a literature review, synthesis of knowledge, comparison and simulation calculations, it can be stated that Hungary has the lowest corporate tax rate, and in the simulative calculations it also produced the lowest tax and highest profit after taxation for a fictitious entity in Hungary. Income tax in the V4 countries differs mainly in the possibility of applying the loss of previous years, in the impact of depreciation on the amount of the tax and in the income tax rebate linked to the employment of the disabled.

scholarly journals Taxation and Dividend Payout: The Case of the Republic of Serbia

2021 ◽  
Author(s):  
Biljana Jovković ◽  
Stefan Vržina
Keyword(s):  
Income Tax ◽  
Dividend Policy ◽  
Statistical Tests ◽  
Transition Countries ◽  
Lower Number ◽  
Corporate Income Tax ◽  
Dividend Payout ◽  
The Republic ◽  
The Impact ◽  
Dividend Tax

Research Question: The paper investigates the relationship between taxation and dividend payout decisions of companies in the Republic of Serbia. Motivation: Including taxation in dividend policy discussion may allow for better understanding of decisions of companies to pay dividends. Prior worldwide research results on the impact of taxation on dividend policy are inconclusive, often contradicting and cannot be universally accepted. Despite abundant research in previous decades, the key drivers of dividend policy of companies are still unknown and there exists a so-called dividend puzzle. In addition, the research on dividend policy of companies in transition countries (including the Republic of Serbia) is relatively scarce. On the other hand, research in transition countries is important as transition countries have a significantly lower level of capital market efficiency and liquidity, having a lower number of joint stock companies and a lower number of companies that regularly pay dividends. Idea: Since tax burden may be a significant obstacle for companies to pay dividends, it may be relevant to research into whether corporate income tax burden has an impact on dividend payout ratio of companies, as well as the impact of dividend tax that shareholders have to pay on the dividend payout. Data: The study captured 23 companies listed on the Belgrade Stock Exchange between 2013 and 2018 that paid dividends in at least one year. In total, the research involved 92 dividend payouts. Research data have been retrieved from the Business Registers Agency of the Republic of Serbia. Tools: Research hypotheses are tested using EViews and IBM SPPS software. Statistical methods included descriptive statistics, correlation and regression analysis, as well as non-parametric statistical tests for independent samples. Findings: The analysis shows that corporate income tax does not impact a dividend payout ratio of companies, indicating that companies do not consider the corporate income tax when deciding on dividends, mostly due to the effective tax rates being considerably lower than the statutory tax rate of 15%. Also, statistical tests show that the dividend tax does not impact the dividend payout ratio, as there is no significant difference in the dividend payout ratio between companies whose largest shareholder is high taxed and companies whose largest shareholder is low taxed. Contribution: Research results may be of interest for company management when designing the dividend policy as well as for investors when deciding on shares investment in accordance with their tax preferences.

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