Got a tricky question? Receive an answer from students like you! Try us!

Russian taxation and tax optimization schemes - Essay Example

Only on StudentShare
Masters
Essay
Finance & Accounting
Pages 8 (2008 words)

Summary

of submission Topic: Russian taxation and tax optimization schemes Introduction The Russian Tax Code regulates taxes in Russia. The taxes include the federal taxes and levies which consist of VAT, excise duty, personal income tax profit tax among others…

Extract of sample
Russian taxation and tax optimization schemes

Tax optimization schemes can therefore be said to be the structuring and organizing of a company’s or individual’s activities in order to reduce of minimize that their tax liabilities. This exercise which is becoming legal increases the amount of money maybe a company wishes to reinvest in its productive assets or even distribute among its shareholders (Saez, Slemrod, and Giertz 13 –50). There is no way to escape interacting with the tax authorities. Of the surveys conducted in the recent past, it emerges that there has been charged additional tax liabilities which are related to VAT and profit tax. These tax charges were due to insufficient economic documentation and justification. There has been consistent strengthening of the tax policy in Russia. This has lead to a marked reduction of tax payments. The Russian government introduced changes. These tax changes protect the integrity of the country’s tax system. These changes included the introduction of amendments to the general anti-tax avoidance provisions. These are part of the tax optimization schemes that Russia is implementing. They include income tax exemptions and the introduction of the option of a tax liability in cases where a tenant qualifies for tax deductions. There are also schemes that let companies avoid declaring de facto members of staff as employees. ...
Download paper
Not exactly what you need?

Related Essays

Taxation
50,760.34 Salary - Tax - NIC Tax brackets Income 10% (starting rate for savings only) 0 - ?2,560 20% for basic rate 0 - ?35,000 40% for higher rate ?35,001 - ?150,000 50% for additional rate Over ?150,000 (HM revenue and Customs 480 (2011) The liability of income tax payable from the above computation is ?25,718.3. A deduction of personal allowance of 7,475 is made in the year 2011/2012 (Great Britain: Parliament: House of Commons: Treasury Committee, 2011,103). This figure was increased by ?1000 (Budget, 2011, pp.1).The National insurance Contributions (NICs) are calculated under the annual…
8 pages (2008 words)
Taxation
Whether someone is employed or self employed depends upon the terms and conditions of relevant engagement. The tax and National Insurance contributions (NICs) rules do, however have special rules that apply to certain special categories of workers in certain circumstances. If you work for someone else it is important to know whether you are working for that person in employed capacity or in a self- employed capacity as an independent contractor.” (HMRC)ii Self employed taxpayers have the advantage of claiming wide range of expenses against the receipts of self employment services. “The…
Taxation in UK
The paper tells that the Largest source of revenue collection for government is income tax. Everyone in the country has an income tax personal allowance below which he does not have to pay tax in a particular tax year. For people aging below 65 years have a tax allowance of £6,475 in 2010-11. However, in June 2010, this figure has been increased by £1,000 by the Chancellor therefore the tax personal allowance is £7,475. If anyone has an income below the income tax personal allowance, he is not supposed to pay any tax however if the earnings of an individual is above the tax allowance then…
12 pages (3012 words)
Tax avoidance and evasion schemes
The government has made tax evasion and avoidance one of its key priorities so as to reduce the deficit and boost the exchequer (Alan 2011). Tax evasion is illegal way of minimizing taxes thus stiff penalties are involved on individual or corporate bodies who evade taxes. Unintentional mathematical errors in tax returns are not considered to be tax evasion (McGee 2012). Tax avoidance is a legal way of minimizing tax liability, and it involves planning in advance an intended transaction so as to get a specific tax treatment. Individuals can minimize taxes through tax planning for example…
5 pages (1255 words)
Multijurisdictional tax (Inbound taxation and Outbound taxation assignment)
IBM Corporation pays a regular quarterly dividend on the stock. Your previous research concluded that Joe T. is a nonresident alien of the US. 1. Is the income received US source income or foreign source income? What statute did you rely on for your conclusion(s)? Facts Joe T. is a non resident alien of the United States who has invested in 1,000 shares of common stock in IBM Corporation. IBM is registered in Delaware, United States and does most of its business within the United States. The stock owned by Joe T. represents less than 1% of the overall value of IBM Corporation. Interpretation…
12 pages (3012 words)
Assignment 3: International Taxation and Foreign Tax Credits
This will in effect be a form of double taxation (Hines & Rice, 1994). A strategy for a US-Based taxpayer to repatriate earnings from the foreign markets and avoid or mitigate the U.S. tax impact on repatriation Lots of profits that most taxpayers in the U.S attribute to mitigate or avoid taxes should be taxed up to about 35% when they are repatriated. In this context, the client can repatriate his earnings from the business abroad and at the same time avoid taxes using the “Cash Hoards” strategy. The fact that U.S has cash hoards indicate that investment is not being hindered by lack of…
4 pages (1004 words)
International Taxation - International Taxation and Foreign Tax Credits
However, in reality the U.S. government ignores this concept of neutrality and imposes taxation on profits earned by U.S. companies in any country outside the border. Thus, U.S. companies who seek to spread businesses overseas are burdened with a combination of tax systems. Such companies are required to pay taxes to the U.S. Government as well as the government of the countries where they are conducting their activities (Henchman, 2011, pp.1-2). This paper contains my proposals as a tax professional to my U.S based client who wants to expand his business into foreign markets. Taxpayer’s…
6 pages (1506 words)