The Goods and Services Tax, or GST for short, is defined as the multi-staged tax consumption on goods and services (GST, 2015). It is the tax that is only charged on the supply of goods and services made in the course of running a business locally by a registered, or taxable, person (Boey, 2015). Replacing a country’s current tax is one of the purpose of the implementation of GST in some countries. For instance, Malaysia’s SST (Sales and Services Tax) is abolished with the new implementation of GST. GST is an ample of consumption tax that covers the stages of economic activity. There are three stages of economy activity, namely the primary sectors, secondary sectors, and tertiary sectors (Borrington & Stimpson, 2014). In other words, all sectors are affected by GST’s implementation. For example, the woodcutter sells each tree for RM 50, the manufacturer buys one and pays the woodcutter RM 53 (RM 50 + 6% GST), and the woodcutter keeps the RM 50 and gives RM 3 to the tax collector.
The countries that practice GST are Australia, Canada, Hong Kong, India, New Zealand, Indonesia, Thailand, Singapore, Philippines, Cambodia, Vietnam, Laos, and Malaysia (GST, 2015). Australia has 10% GST on most goods and services. Any
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Later on in October 1992, the first announcement of GST implementation in Malaysia was announced by the then Minister of Finance, Dato’ Seri Anwar Ibrahim during his speech for the Budget 1993 but it was subsequently deferred (GST VINTAGE SDN BHD, 2013). This, however, was not mark the last time GST would be deferred again as Dato’ Seri Abdullah Ahmad Badawi did announce the implementation of GST for the year 2007 in year 2004 but again, the GST implementation was further deferred in 2006 (GST VINTAGE SDN BHD,
Case 1: Hilary is a famous mountain climber, this is the reason why the Daily Terror Newspaper gain the interest to offer her $10,000 dollars to write her life story, but if she prefer to write in on her own without any help from a writer, she gains all the copyrights to claim the $10,000 dollars coming from the Daily Terror when the story is published. She also decided to sell the manuscript to the Mitchell Library for $5000 dollars and later she also receives $2000 dollars for selling several mountains climbing photographs.
Tax law changes every year. Laws are updated, loopholes are blocked and other modifications are generated. A few of these changes affect essentially each of the wage earners while others could impact primarily small businesses or higher-income taxpayers.
As the rise of taxation and exemptions has been the focus since the 1970’s, so have court cases to resolve exemption matters. In the case of Greater Anchorage Area Borough v. Sisters of Charity involves the appeal of a tax exemption status of a building owned by the Sisters of Charity. The details of the Sisters of Charity entail of them being a long time health care provider in Alaska the Providence Professional building near the hospital deeded to them in 1959. After the construction in 1970, the building was for recreation, school, and hospital use; thereafter the building was fully opened in 1972. Nevertheless, the professional building was operating, and the three floors of the building are the subject of appeal. The purpose for the appeal
Governing a large group of people is not a simple task and therefore there is no set way that it can or should be done. Instead, there are suggestions as to what a government should do for citizens and the practices that should be prohibited to protect the rights of each citizen. Broadly speaking, we must consider every person that resides in a state as a citizen, regardless of legal status. This is to protect all from suspicion and discriminatory practices that do not further liberty, democracy or justice.
For each generation that grows up in America, there is always one thing that they all share, taxes. Individuals pay taxes on almost everything these days. Taxes are charged on purchases of food, goods, and even services. Taxes are also taken out of payroll checks each pay period and deposited into government accounts for use later. And lastly, at the beginning of the year when income tax is due, if an individual has done what is necessary, they will end up with a refund. If not, they can end up with a high tax repayment bill that leaves them wondering what went wrong. What if, however, there was a way to change the Nation’s taxation system? Would it be worth it to an individual to pay more for items instead of paying taxes at the end of the
In Microeconomics, there are many subjects that gave me interest in investigating to progress in my professional career as an Accountant. For three years and throughout this semester, my studies in Accounting at Dalton State College have given me more interest getting into the business program to get a job as finance accountant. Microeconomics shows which cause a departure from these economic efficiencies and the result in the decline of the social welfare at its maximum level. Economic efficiency involves in three efficiencies; efficiency in production, efficiency in the production of goods among the people, which it is also called efficiency of consumption, and allocative economic efficiency that’s in the direction of production efficiency.
Taxation has always been a major controversy. Just like any major corporation, the government is constantly looking to raise revenue. The easiest and fairest way to do this is by taxing the people. However, how the people will be taxed is always an issue.
Gurría, Angel. "Improve tax fairness and help the developing world." OCED. Organisation for Economic Co-operation and Development, 24/04/2009. Web. 9 Oct 2011. .
In realising that foreign investments are the key source of the nation’s economic rise, the Chinese government has given special preferences to foreign investors (Financial Express, 2006). This is mostly done through reduction of most favoured nation (MFN) tariff rate. In India, on the other hand, fair competition exists between domestic and foreign investors. Although the Indian government states that it aims to reduce its MFN tariff rate, which currently doubles the rate in China, to other ASEAN country levels, it is in reality a big challenge because a large portion of the nation’s tax revenue comes from customs tariffs (Henley, 2004).
The purpose of this paper is to illustrate the layout of taxation. I will differentiate the types of taxes and the roles that they serve currently. Subsequently, I will explain what equity, efficiency, effectiveness and transparency (EEET) are and show how they apply to taxation as a whole. Lastly, I will conclude how the EEET applies to the four tax types.
Taxation is a compulsory levy imposed on the income, value of goods and services of individuals, partners and companies by the government. It is can be said to be an approach of imposing tax on the citizen. This imposition of tax, is expected to yield income which should be utilized in the provision of both basic and substantial infrastructural amenities, both social and security, as well as creates conditions for the economic well-being of the society at large.
The government use of taxes plays a crucial role in today’s economy as well as personal finances, it has and will continue to leave its mark on the world we live in.
This assignment calls for the students to complete the Supply and Demand web simulation. The simulation is about a property management firm called Goodlife Management, who owns apartment complexes in the city of Atlantis. The simulation provides a number of different scenarios both covering information that we learned about microeconomics and macroeconomics.
1) Tax is the amount of money demanded by government to financially support the economy. The main two types of tax are direct tax and indirect tax. Direct taxes are levied on the income, property, or wealth of an individual (e.g. Income Tax & Corporate Tax). Direct taxes tend to be progressive, efficient, and flexible. However some will also argue that it encourages tax evasion, disincentive to work, tax havens which results to leakages, and is unpopular with the electorate. On the contrary, indirect taxes are charged upon goods and services, thus affecting citizens indirectly (e.g. VAT & Council Tax). It is effective because it let the people decide whether or not to pay it. However, taxes like VAT are regressive towards citizens.
...ruggle or in some cases continue to struggle if this tax was a continuous one. This tax is aimed at helping the disadvantaged and creating equality within our country and with the help from this tax our country would be on its way to moving forward to that step. The Khulumani Support Group welcomed this “wealth tax” in a statement that set out fair steps that should be taken by government officials to put this wealth tax in place. Their steps are not only fair but are also logical, wanting at least R2 billion for 5 years thus when divided up providing R2000 per month to the amount of victims that are estimated at around 120, 000.