VALUE ADDED TAX IN THE EUROPEAN UNION

2021 ◽  
Vol 62 (01) ◽  
pp. 186-189
Author(s):  
Nigar Yadulla Shahgaldiyeva ◽  
Keyword(s):  
European Union ◽  
Key Words ◽  
Value Added ◽  
The European Union ◽  
Value Added Tax ◽  
Tax System ◽  
Manufactured Goods ◽  
The Difference

Value-added tax is an indirect tax based on the sale value of goods, production and non-manufactured goods as an object of taxation. According to the mechanism and procedures for the calculation and payment of value added tax, this tax is not directly imposed by a particular person, but applies to consumers in the process of return. In this case, the value added tax is neutral for securities. In addition, value added tax is universal and is characterized by the difference between purchases at each stage of production and turnover. In connection with the calculation of value added tax, the taxpayer's tax liability to the budget consists of the difference between the amount of tax assessed on taxable turnover and the amount of tax to be deducted in accordance with the documents. Key words: European Union, value Added Tax, tax, tax system

scholarly journals THE FLAWS OF THE SYSTEM OF ACCOUNTING FOR THE VALUE-ADDED TAX LIABILITIES AND RECEIVABLES, AND RECOMMENDATIONS FOR OVERCOMING THEM

2018 ◽  
Vol 28 (5) ◽  
pp. 1613-1618
Author(s):  
Nada Petrusheva ◽  
Darko Iliov
Keyword(s):  
European Union ◽  
Value Added ◽  
The European Union ◽  
Consumption Tax ◽  
Value Added Tax ◽  
Member States ◽  
The Difference ◽  
The Republic ◽  
The Government ◽  
Reduced Rate

Value-added tax (VAT) is a consumption tax, meaning that it is a tax on the purchase of a product or a service. It is a form of taxation that focuses on how much an individual consumes opposed to how much that individual contributes to the economy (income tax).Value-added tax is paid by residents of any country in the European Union. Both consumers and businesses are liable to pay VAT when purchasing products or services. When a manufacturer creates a product, it is liable to pay value-added tax on the components purchased in order to create goods. When the product is sold, the tax burden is transferred onto the buyer, who pays the whole VAT amount, from which the manufacturer pays the government the difference between the whole VAT amount and the VAT amount that has already been paid when the components were purchased. Value-added taxation rates are set by the member states individually. The minimum rate of VAT as directed by the European Union is 15%. There is no maximum limit on value-added taxation. Member states are also at liberty to choose certain products and services to be subject to a reduced rate of VAT or to be exempt altogether. The system of accounting for the VAT liabilities and receivables in the Republic of Macedonia has certain issues which are presented in this paper. This paper also presents recommendations that are aimed towards overcoming these issues.

scholarly journals VAT Efficiency—A Discussion on the VAT System in the European Union

2021 ◽  
Vol 13 (9) ◽  
pp. 4768
Author(s):  
Anna Kowal ◽  
Grzegorz Przekota
Keyword(s):  
European Union ◽  
Tax Evasion ◽  
Value Added ◽  
Square Function ◽  
The European Union ◽  
Tax System ◽  
Aggregated Data ◽  
Tax Gap ◽  
Standard Rate ◽  
Tax Fraud

The effectiveness of the tax system can be analysed in various ways. According to the authors one of manifestations of such effectiveness is resistance to tax evasion. This phenomenon is influenced by multiple factors, with few being the level of VAT rates and the number of rates in force in the country concerned. The aim of the considerations is therefore to analyse how the standard VAT rate as well as the number of rates affect the effectiveness of this tax. The research was based on a literature query in the field of value added tax in the European Union. In addition, the problem of tax evasion was indicated and the aggregated data on the size of the tax gap in the Member States were presented. Then, there are the results of the research for 27 European Union countries for 2011–2019. The efficiency of VAT collection was modelled using square function, determining the significance of the parameters of this function, as well as the value of abscissa, which made it possible to group the countries based on how they maintained the efficiency of VAT collection over the analysed period of time. The final part of the study concentrates on the relationship between the efficiency of tax collection and the amount of both the basic rate and the number of rates. The conclusions of the research are as follows: a tax system with a small number of reduced rates, and preferably with one relatively low standard rate, is the system least susceptible to tax fraud. The research also shows a positive correlation between the value of the basic VAT rate along with the number of preferential rates and the scale of the tax gap, i.e., in countries with a higher standard VAT rate and a greater number of preferential rates, the tax gap is greater. The study will enable further investigation into the strategy of determining the optimal VAT rate and the process of its unification. Proposed changes may contribute to increasing the efficiency of VAT administration in EU countries, reducing the shadow economy, tax fraud and positively influencing economic growth.

ANALYSIS OF THE NATURE OF THE EUROPEAN DIGITAL TAX IN COMPARISON WITH THE CURRENT VAT SYSTEM AND ITS IMPACT ON THE ECONOMY AND MANAGEMENT OF ECONOMIC ENTITIES

2021 ◽  
Vol 2 (4) ◽  
pp. 42-48
Author(s):  
S. V. ZAYTSEV ◽  
Keyword(s):  
European Union ◽  
Civil Society ◽  
European Commission ◽  
Value Added ◽  
The European Union ◽  
Value Added Tax ◽  
Short Term ◽  
Low Level ◽  
Digital Services ◽  
The Many

In March 2018 the European Commission presented a proposal to adopt a digital services tax (DST) on certain types of revenues of multinational digital Companies. The purpose of the digital services tax is to compensate in the short term for the low level of corporate taxation of these companies in the European Union and thus meet the urgent need of civil society for greater tax fairness. DST is presented as an indirect tax on turnover and is often compared to value-added tax (VAT). In this article, the author seeks to highlight the many differences that exist between the harmonized European Union VAT and the new DST. In addition, the author challenges the idea that the DST will actually be an indirect tax and, most importantly, that it will effectively increase tax justice in the European Union.

I. Customs, Excise Duties and Value Added Tax

1996 ◽  
Vol 45 (3) ◽  
pp. 736-740 ◽  
Author(s):  
Karl Newman ◽  
Michael Michael
Keyword(s):  
European Union ◽  
Value Added ◽  
The European Union ◽  
Value Added Tax ◽  
Excise Duties

The enlargement of the European Union from 1 January 1995 by the accession of Austria, Finland and Sweden inevitably necessitated amendments to much Community legislation.1

The Future of Value Added Tax in the European Union

1996 ◽  
Vol 11 (23) ◽  
pp. 373 ◽  
Author(s):  
Michael Keen ◽  
Stephen Smith ◽  
Richard E. Baldwin ◽  
Vidar Christiansen
Keyword(s):  
European Union ◽  
Value Added ◽  
The European Union ◽  
Value Added Tax ◽  
The Future

scholarly journals Final Regime of the Value Added Tax in the European Union and the Slovak Republic

2021 ◽  
pp. 29-46
Author(s):  
Peter Rakovský
Keyword(s):  
European Union ◽  
Slovak Republic ◽  
Value Added ◽  
The European Union ◽  
Value Added Tax ◽  
European Union Countries ◽  
Legislative Procedure ◽  
Individual Actions ◽  
The Individual

In this article we introduce and analyse the main legal actions regarding the value added tax final regime legislation and we try to detect the most important measures to fight against tax frauds. The article tries to identify the individual actions that have already entered into force within the European Union countries (the Slovak Republic including) and actions which are in legislative procedure at this moment.

scholarly journals Value added tax: effectiveness and legal regulation in Ukraine and the European Union

2018 ◽  
Vol 171 (5-6) ◽  
pp. 4-14
Author(s):  
Irina Kovova ◽  
◽  
Oleksandr Malyshkin ◽  
Vlastimil Vicen ◽  
Svitlana Shulyarenko ◽  
...  
Keyword(s):  
European Union ◽  
Value Added ◽  
Legal Regulation ◽  
The European Union ◽  
Value Added Tax

scholarly journals Characteristics of the VAT in Albania

2014 ◽  
Vol 1 (1) ◽  
pp. 228
Author(s):  
Mikel Alla
Keyword(s):  
European Union ◽  
Fiscal Policy ◽  
Production Process ◽  
Tax Evasion ◽  
Value Added ◽  
The Other ◽  
Self Management ◽  
The European Union ◽  
Value Added Tax ◽  
Tax Legislation

The value added tax (taxe sur la valeur ajoutee - TVA) was "invented" by a finance expert of France called "Maurice Laure" (1917-20 April 2001). The system of "Laure" is designed to April 10, 1954. He "invented" a tax on consumption, which was called the VAT (TVA). His idea was quickly adopted because it compels taxpayers at all levels of the production process, for self-management and self-calculating the tax, instead of putting the burden on sellers, or the tax authorities make the tax assessments. The tax legislation for the VAT in Albania has changed constantly . The VAT in Albania is regulated by the Law No. 7928 dated 27.04.1995 "On the VAT" . This law was amended to date from about 30 other laws . in the design of the fiscal policy of Albania , are taken into consideration the behavior of taxpayers and their ability to the tax evasion . Albanian state is trying to harmonize the fiscal legislation with those of the other countries of the European Union. This paper aims to show the main characteristics of the VAT in Albania . At the end of this paper, I will give my conclusions of the issue .

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