Tax Implications Research Articles

Cryptocurrency Taxation: A Bibliometric Analysis and Emerging Trends

This article conducts a comprehensive bibliometric analysis of 182 papers to trace the progression of research on cryptocurrency taxation. The study highlights prevailing patterns, influential contributors, and collaborative networks by utilising data from Scopus and the Web of Science Core Collection from 2002 to 2023. The findings underscore an interdisciplinary character, encompassing studies in legal frameworks, fiscal policy, economics, and technology. By employing analytical tools such as VOSviewer 1.6.20, Bibliometrix 4.0 and Microsoft Excel, the study identifies key themes and concepts focused on four main themes: international tax frameworks and regulatory variations, classification and reporting of crypto-related income, tax implications for emerging crypto segments, and issues surrounding compliance and enforcement. Tax treatment differs based on jurisdiction. Direct taxation may be levied as capital gains, income, or profit tax. Although cryptocurrency exchanges are not subject to value-added tax, intermediary services offered by platforms might incur this indirect tax. The insights generated are valuable for policymakers, scholars, and professionals aiming to comprehend the relationship between cryptocurrency and tax regulation. A limitation of the study is its exclusion of sources beyond the established timeframe. Given the fast-paced changes in cryptocurrency tax regulation, ongoing updates are crucial to capturing the full scope of this evolving field.

Cryptocurrencies are here to Stay! Think you aren’t Vulnerable, Think Again

Cryptocurrencies are here to stay and represent a market capitalisation of approximately $3.57T. It has been reported that over 500 million people globally own cryptocurrencies. In this paper, I discuss the vulnerabilities identified with cryptocurrency ownership including who is vulnerable and then explore the role education plays. The study described involved 745 cryptocurrency owners (including 140 non-fungible token (NFT) owners) from Australia and explores the ways in which vulnerabilities play out for various demographics. The above-mentioned research revealed that almost everyone is vulnerable when it comes to cryptocurrency and/or NFT ownership and challenges who has previously been identified as experiencing financial vulnerabilities. Demographic characteristics associated with financial vulnerabilities often includes individuals with lower education levels who are living on low incomes, who identify as female and/or Indigenous and/or for whom English is a second language. It is often assumed that anyone else who does not meet the above-mentioned characteristics are assumed to be financially capable. However, with cryptocurrency ownership almost everyone is vulnerable. Education has a role to play to help combat the risks associated with cryptocurrency and/or NFT ownership. We need educators willing to teach about cryptocurrencies and NFT ownership, storage and tax implications.

The Fiscal Policy and Tax Implications for Medical Device Resilience in Indonesia

The high degree of dependence on imported medical devices in Indonesia poses challenges to national resilience in the healthcare sector. Fiscal policies, including taxation regulations, fiscal incentives, and import substitution strategies, play a significant role in enhancing the competitiveness of the domestic medical device industry. This study employs a normative method with a legislative approach to analyse the impact of taxation regulations on the competitiveness of the medical device industry. The findings indicate that 1) import duties regulated under PMK No. 26/PMK.010/2022 provide protection for local products but require synergy with fiscal incentives, as outlined in PP No. 45 Tahun 2019; 2) import substitution policies have successfully increased local production but are still constrained by dependence on imported raw materials; 3) tax regulations, such as Article 22 of Law No. 36/2008 and the imposition of a 10% VAT, contribute to protecting the domestic market, but the tax burden on end consumers remains a challenge; and 4) a more integrated and sustainable fiscal policy framework is needed to foster innovation, efficiency, and acceleration of the independence of the medical device industry in Indonesia. This study highlights the importance of strengthening fiscal regulations to support the resilience of the national healthcare sector.

To the Best of Both Worlds: Firm's Nationalism and Corporate Tax

To the Best of Both Worlds: Firm's Nationalism and Corporate Tax

정부 수립과 6.25전후의 세제개혁 연구

Research topics: I think the Korean tax history is of great practical significance as we realistically carry out tax or tax administration. Whenever we encounter various difficult tax or cleaning problems, large and small, we take a step back and eventually rediscover that it is a historical problem in the past history. This study aims to study the fiscal and tax reforms at that time, focusing on the establishment of the government and the period from 1948 to 1960, before and after the Korean War. Research background: The Korean economy, which had been moving toward economic stability and balanced finance since the establishment of the Korean government, unexpectedly encountered the Korean War, frustrating all stability and growth development policies and forcing a new exhibition system. According to the basic structure of tax administration after the ceasefire, the government implemented an indirect tax-centered tax system by lowering the overall tax rate from the wartime tax system to the usual tax system, promoting capital accumulation, suppressing consumption, and simplifying tax administration to avoid friction with taxpayers. Only when we understand the implications of real taxation and tax administration issues that have been developed throughout history for the coming history will we be able to have a historical consciousness of our mission. Differences from prior research: Among Korean tax history, this study studies the establishment of the Korean government in 1948, the Korean War from 1950 to 1953, and fiscal and tax reforms from 1954 to the April 19 Revolution in 1960, which is different from previous Korean tax history studies. Research method: Focusing on literature research methods among social science research methods, this study studied and drew implications for fiscal and tax reforms from the establishment of the government in 1948 to the Korean War and ceasefire, and 1960. Research results: At the same time as the establishment of the Korean government on August 15, 1948, the military government budget was finally settled at the end of September of that year, and the independent government's fiscal policy was implemented from October 1. The government set economic stability and industrial revival through inflation as economic policy goals, and as a result, tried to realize a balanced budget. Since the foundation of the country, the Korean government has inevitably expanded expenses due to emergency projects such as securing security, strengthening national defense, increasing electricity and food production, and implementing compulsory education, making it impossible to establish a balanced budget. Recently, the public is dissatisfied with the level of tax burden and tax and tax administration. As such, when grasping the current level of tax burden in Korea and how tax and tax administration issues are thrown before us throughout the history process so far, we will be able to find the basic direction of solving the problems of tax burden and tax administration. Contribution points and expected effects: Recently, public dissatisfaction with the level of tax burden and tax and tax administration is high. As such, when we grasp the level of tax burden and how the current tax burden and tax and tax administration issues in Korea have been thrown before us so far, we will be able to find the basic direction of solving the problems of tax burden and tax and tax administration. We will be able to have a historical consciousness of our mission only when we find out what the real tax and tax administration issues that have been developed throughout history mean for the future history.

Dampak Perpajakan Akibat Perubahan Batubara Menjadi Barang Kena Pajak Berdasarkan Undang-Undang No. 11 Tahun 2020 bagi Pengusaha Batubara (Studi Kasus PT XYZ)

The impact of changing the status of coal to Taxable Goods (BKP) based on Law No. 11 of 2020 and its implications for taxation for companies, with a case study of PT XYZ. The main problem faced is tax disputes due to differences in interpretation regarding the time of delivery of goods that affect the imposition of Value Added Tax (VAT). This study aims to evaluate the problem based on applicable accounting standards and tax regulations and provide recommendations to prevent similar disputes in the future. The research method used is descriptive qualitative with data collection techniques in the form of interviews, participatory observation, and analysis of related documents such as financial statements, tax invoices, and shipping documents. The results show that tax disputes arise due to discrepancies in revenue recognition and transaction recording between companies and tax authorities. PT XYZ should have recognized revenue at the time the Berita Acara Serah Terima (BAST) (also refer to Handover Report or Minutes of Handover) document was issued, which marked the transfer of rights and risks of the goods. In addition, the Input Tax credited before the company was confirmed as a Taxable Entrepreneur (PKP) was not in accordance with tax regulations. The implications of this study highlight the importance of adequate accounting documentation and revenue recognition as per accounting standards to ensure compliance with tax regulations.

Accident Causation Theories and Tax Implication to Road Traffic Accidents in Nepal

Accident Causation Theories and Tax Implication to Road Traffic Accidents in Nepal

Stochastic and club convergence analysis of environmental tax revenues across EU countries.

The European Union (EU) has taken several initiatives over the past two decades to harmonize environmental taxation policies across member countries. The directive on energy taxation (Directive 2003/96/EC) provides the framework for the taxation of energy products within the EU. These harmonization efforts are part of a broader strategy to ensure environmental sustainability and combat climate change. This paper examines whether these efforts have had any impact on the convergence of environmental taxation across EU countries during the period 1995-2021. This paper uses a new panel unit root test that accounts for cross-correlations and structural breaks within the panel since regulations on taxation increase the possibility that EU countries may have commonalities on these issues. The club convergence test is also used to test for the existence of multiple equilibria within groups of countries. The results of the traditional convergence test show that environmental tax revenues are converging across EU countries. Furthermore, the results of the stochastic convergence test indicate that there is a convergence of relative environmental tax revenues. As for the break dates, the results from the tax revenue series show that the first and second break are concentrated in the periods 2002-2007 and 2012-2017, respectively. Finally, the results of the club convergence test reject the full panel convergence and reveal the existence of different convergence clubs. The empirical results of this paper have some implications for environmental taxation in the EU.

Evaluating Customers Perception towards Savings Instruments: with Special Reference to Fixed Deposit

This research investigates customer perceptions of savings instruments, focusing on fixed deposits (FDs), which remain a popular investment choice for their safety and guaranteed returns. Despite competition from other financial products like mutual funds and bonds, FDs continue to attract risk-averse investors. The study, conducted for Shriram Finance, evaluates factors influencing consumer decisions, including safety, returns, liquidity, and tax implications, while considering the demographic impact of age, income, and education. Primary data were collected through structured surveys of 50 respondents across various demographics. The findings reveal that while FDs are favoured for their security and simplicity, low returns and lack of flexibility deter some investors. Awareness of advanced FD features such as tax-saving options remains limited, highlighting a need for better customer education. Younger investors tend to diversify their portfolios, favouring higher-risk products, whereas older and middle-income groups prioritize the stability of FDs.

Climate action and social equity: Mitigation strategies and carbon credits

Carbon taxes are a critical tool in global efforts to reduce greenhouse gas emissions, but they often have regressive effects, disproportionately burdening low-income households. This study examines the economic impact of carbon taxes on different income groups, with a focus on the regressive nature of these policies. Low-income households, which typically spend a higher percentage of their income on energy and carbon-intensive goods, are more adversely affected by carbon taxes. This analysis explores potential mitigation strategies, such as rebates, targeted subsidies, and income-based tax adjustments, to offset these regressive effects. Additionally, the study investigates the role of carbon credits in income distribution, analyzing how the allocation and trading of credits can influence social equity. The research also considers the broader implications of carbon taxes and credits on income distribution, highlighting the need for policies that balance environmental objectives with social equity. By examining the intersection of carbon pricing mechanisms and income inequality, this study provides insights into how policymakers can design carbon taxes and credits that minimize regressive impacts while promoting fair and equitable climate action. The findings underscore the importance of integrating social equity considerations into carbon pricing strategies to ensure that climate policies contribute to sustainable and inclusive economic growth.

Economic impacts of federal reserve policies on taxation and corporate finance

Federal Reserve policies play a pivotal role in shaping the U.S. economy, influencing not only macroeconomic stability but also the financial strategies and tax implications for corporations. Broadly, the Federal Reserve's use of monetary tools—such as interest rate adjustments, Quantitative Easing (QE), and inflation targeting—affects the economic environment within which businesses operate, impacting costs of capital, investment incentives, and overall corporate behaviour. Through mechanisms like lowering interest rates, the Federal Reserve reduces borrowing costs, which encourages companies to adjust their capital structures and debt levels, with significant implications for tax planning due to interest deductibility. QE, on the other hand, drives asset prices higher, promoting increased investment activity, stock buybacks, and changes in dividend policies that indirectly influence corporate taxation. This article examines the nuanced relationships between Federal Reserve decisions and corporate finance, analysing how shifts in policy impact tax revenue and how governments adapt tax policies to manage economic conditions such as inflation. By presenting case studies from the 2008 financial crisis and the COVID-19 pandemic, this analysis illustrates the practical effects of the Federal Reserve's actions on corporate financial decisions and the broader tax landscape. The article concludes by addressing the future of Federal Reserve policies in light of technological advances in finance and the adaptive strategies that corporate and regulatory bodies may adopt to navigate an increasingly dynamic economic environment.

Ukraine’s New Law on Administrative Procedure: Progress Toward EU Standards and Implications for Tax and Customs

Ukraine’s New Law on Administrative Procedure: Progress Toward EU Standards and Implications for Tax and Customs

An in-depth analysis of the evolution and challenges of financial reporting in Nigeria

The evolution of financial reporting in Nigeria has been influenced by a combination of legal systems, global standards, and emerging trends. This article will demonstrate the financial reporting environment in Nigeria in detail such as regulatory bodies, accounting standards, reporting requirements for different entities, tax implications, auditing techniques, corporate governance principles, and emerging issues. The chapter discusses a paradigm shift towards IFRS that took place in 2012, and the obstacles companies faced in adjusting their systems to international norms. The role of regulators, like Federal Republic of Nigeria Financial Reporting Council (FRCN) and Securities and Exchange Commission (SEC), and the impact of legislative amendments, such as Companies and Allied Matters Act (CAMA) 2020, is also looked into in this research. In addition, the article discusses the specific problems encountered in the oil and gas, finance, and telecommunications industries, highlighting the unique accounting issues and regulatory requirements. Furthermore, the ethical side of financial reporting is included, namely honesty, openness, and whistle blowing. We utilised relevant published data (2004–2014) from diverse, reliable databases. The outcome is a clear depiction of the need for joint initiatives by regulators, firms, professional bodies and stakeholders to tackle the challenges present in Nigerian financial reporting and create a climate of transparency and reliability. Keywords: Financial Reporting, Nigeria, International Financial Reporting Standards (IFRS), Corporate Governance, Auditing Practices, Taxation

Final tax regression

The urgency of this research lies in the pressing need to address regressiveness in Indonesia's taxation system, particularly concerning the Final Income Tax. As such, this study aims to examine the implications of Final Income Tax on taxpayers, especially high-income individuals, and propose potential reforms to ensure fairness and progressivity in the tax regime. To achieve this objective, the research employs a combination of quantitative analysis and theoretical frameworks. Income data from High-Wealth Individuals (HWIs) is analyzed to assess the regressiveness of the Effective Tax Rate (ETR), with a specific focus on income components subject to Final Income Tax. Additionally, the study reviews existing literature on tax reform and draws insights from international best practices to formulate recommendations for policy improvements. By combining empirical analysis with theoretical insights, this research contributes to a deeper understanding of the challenges within Indonesia's taxation system and offers actionable recommendations for policymakers and Directorate General of Taxes as Indonesian tax authorities.

Burp tax: Regulation and revenue potential in Indonesia

The increasingly urgent phenomenon of climate change requires concrete actions from various sectors, including the livestock sector which is a significant contributor to greenhouse gas emissions, particularly methane. This study explores the potential of implementing Burp Tax in Indonesia as a regulatory mechanism to reduce methane emissions from beef and dairy cattle farms. By referring to New Zealand's experience as a Burp Tax pioneer, this study analyzes the policy scheme that includes tax subjects, tax objects, tariffs, and fair and efficient collection mechanisms. In addition, this study identifies various obstacles that may be faced in the implementation of Burp Tax in Indonesia and provides recommendations to support the national commitment in achieving the Zero Emission target in 2045/2060. The research used qualitative methods with literature study data collection techniques. The research concludes that there is great potential for the imposition of Burp Tax, so that in addition to being a form of effort to reduce methane emissions from beef and dairy cattle farms, Burp Tax can also increase the portion of state revenue from the taxation sector. The specific tariff scheme is IDR30/KgCH4 with tax subjects in the beef and dairy cattle farming sector, including individuals with 30 cows and business entities. However, it is important to note that the imposition of Burp Tax may have an economic impact on livestock business actors and affect the price of meat and milk commodities. Therefore, further studies are needed regarding the potential and impact of Burp Tax implications in Indonesia. The results of this study are expected to make a significant contribution to the development of sustainable taxation policies that are responsive to the challenges of climate change.

An overlooked market: loose cigarettes, informal vendors and their implications for tobacco taxation

ObjectiveTo examine the features of markets for loose cigarettes in several low-income and middle-income countries and their effects on tobacco control policies, particularly taxation.DesignAn analysis of survey data targeting people...

Economic Impact of Inward and Outward Remittances and their Tax Implications

Economic Impact of Inward and Outward Remittances and their Tax Implications

Tax Implications of Offshore Financial Centres (OFCs): A Case-based Study

Tax Implications of Offshore Financial Centres (OFCs): A Case-based Study

Wealth Taxation and Household Saving: Evidence from Assessment Discontinuities in Norway

Abstract Neither theory nor existing empirical evidence support the notion that wealth taxation reduces saving. Theoretically, the effect is ambiguous due to opposing income and substitution effects, and empirically, the effect may be masked by misreporting responses. Using geographic discontinuities in the Norwegian annual net-wealth tax and third-party-reported data on savings, I find that wealth taxation causes households to save more. Each additional NOK of wealth tax increases annual net financial saving by 3.76, implying that households increase saving enough to offset both current and future wealth taxes. This positive effect on saving is primarily financed by increases in labor earnings. These responses are the combination of small negative effects of increasing the marginal tax rates and larger positive effects of increasing average rates. My findings imply that income effects may dominate substitution effects in household responses to rate-of-return shocks, which has implications for both optimal taxation and macroeconomic modeling.

Market concentration and implicit taxes: analyzing Brazilian firms

Purpose This study aims to explore the interplay between market concentration and implicit tax burdens in Brazil, offering a fresh perspective on the conventional belief of perfect competition. Design/methodology/approach Data was sourced from Brazilian firms on the B3 stock exchange between 2011 and 2021. Multiple linear regression techniques were employed to analyze the relation of explicit tax rates to firms’ pre- and post-tax returns. Findings Dominant firms in the market tend to bear a lower implicit tax burden and have the capacity to extend tax incentive benefits to shareholders. Research limitations/implications The findings highlight Brazil’s intricate corporate tax fabric, particularly regarding implicit taxes. They provide a foundation for deeper inquiries into how market dominance, taxation policies, and corporate strategies converge. Practical implications Regulators and business leaders can harness this knowledge to recalibrate tax strategies and market regulations. Specifically, a closer examination of the dynamics that permit reduced implicit tax implications in monopolized markets is essential for equity. Social implications Companies with pronounced market concentration can mitigate their implicit tax burdens, potentially offloading them to consumers and suppliers. This points to potential inequities in current tax structures. Originality/value This research unveils nuanced insights into Brazil’s multifaceted interrelations between corporate influence, taxation strategies, and market forces.