Tax Calculation Research Articles

Isaac Sharara’s Law of Proportional Value Added Tax Calculation in a Multi-currency economy. A case for Zimbabwe 2023

This paper has a cardinal goal of suggesting a way or method to calculate Value added tax (VAT) in a multi-currency economy where the VAT must be collected and remitted in the currency of tender. This paper notes that a good VAT system must not affect the choices of the consumer in any way and also that, each taxpayer must be allowed to contribute to state tax collections in any of the officially allowed currencies in that economy. In this paper, proportions are used to calculate the contribution per currency within a single transaction involving a single standard rated product or service.

The Impact of the Global Minimum Tax on Tax Competition

This article examines the impact of the Pillar Two Global Anti-Base Erosion (GloBE) Rules on tax competition. It sets out and explores three main conclusions on the GloBE Rules’ impact on tax competition. First, the GloBE Rules set a floor on tax paid on profit by multinationals equal to 15% of “Excess Profit”. They also set a floor on competition among “source” countries. Second, the GloBE Rules may provide some countries with an incentive to raise revenues through a qualified domestic minimum top up tax rather than a corporation tax. Third, countries can compete below the floor by offering grants and “Qualified Refundable Tax Credits”. The article proposes an alternative design for the top-up tax calculation that may have been preferable. Overall, it concludes that the impact of the GloBE Rules on tax competition may be less straightforward and significant than may have been expected. The rules also create incentives that are not clearly desirable from a policy perspective.

News Article

Possible impacts of Large Language Models on X-ray spectroscopy (March 17, 2023). Recent announcement of releasing OpenAI's Generative Pretrained Transformer 4 (GPT-4) could mark the beginning of a new era of the practical application of artificial intelligence. Compared with the previous versions of OpenAI's Large Language Models (LLM), its function in handling the images even in the text-based chat system is surprising. In the presentation, which has been archived as a Youtube video (https://www.youtube.com/live/outcGtbnMuQ?feature=share), the chat system can handle a screenshot image of a handwriting note with some sketch, and can instantly transform it into an html code. Then one can create a new Web page. In addition, the reasoning ability has been upgraded considerably from the previous version, which had not been very good; previous ChatGPT seems to give the correct answer only to 26% of the junior high school level mathematics problems (see, for example, Simon Frieder et al., “Mathematical Capabilities of ChatGPT”, https://arxiv.org/abs/2301.13867). The new version seems to be much better and is now quite good at the tax calculation and the bar exam problem. Generally, the ability of text-based job has become further better than ever. The number of characters that can be handled has increased, and overall processing has become higher quality. One of the recent interesting discussions on the application of artificial intelligence to spectroscopy has been described in the article, by Jerome Workman, Jr., and Howard Mark, “Artificial Intelligence in Analytical Spectroscopy, Part I: Basic Concepts and Discussion”, Spectroscopy, 38, (2), 13–22 (2023). https://doi.org/10.56530/spectroscopy.og4284z8. Some of the related contents have been also discussed in the podcast, Analytically Speaking Podcast Episode 9, “Automating Advanced Chemometric Methods for Data Processing” (https://www.spectroscopyonline.com/view/ep-9-automating-advanced-chemometric-methods-for-data-processing). As the present artificial intelligence is more powerful in handling billions of images, for a while, image-based scientific applications could be preceding (see, for example, Lei Zhang and Shaofeng Shao, “Image-based machine learning for materials science”, Journal of Applied Physics 132, 100701 (2022). https://doi.org/10.1063/5.0087381; Samantha Phan and Christine K. Luscombe, “Recent trends in marine microplastic modeling and machine learning tools: Potential for long-term microplastic monitoring”, Journal of Applied Physics 133, 020701 (2023). https://doi.org/10.1063/5.0126358). On the same day of the announcement of GPT-4, Anthropic Inc, which is a rival company founded by former Open AI employees, released Claude. It has been tested in private systems on systems such as Notion, Quora, and DuckDuckGo, and has been very well received. The LLM and its application such as chatbots will be used more frequently than before. On the other hand, the system is like a black box, and therefore we will need to be careful when considering some real use (see, for example, Noah Giansiracusa, “Three Easy Ways to Make AI Chatbots Safer”, Scientific American, March 17, 2023, https://www.scientificamerican.com/article/three-easy-ways-to-make-ai-chatbots-safer/).

Evaluation of the economic implications of varied pressure drawdown strategies generated using a real-time, rapid predictive, multi-fidelity model for unconventional oil and gas wells

Experience has suggested that pressure maintenance in hydraulically fractured reservoirs via lower, more sustained production drawdowns may offer improved cumulative recovery and overall resource extraction efficiency compared to more rapid drawdown approaches aimed at generating high initial production. However, given the inherent variability of oil and natural gas markets, operators pursue production strategies that maximize profitability over resource extraction efficiency. This study focuses on evaluating the implications of contrasting pressure drawdown strategies on the long-term production and resulting economics for a real, producing unconventional gas well in the Marcellus Shale of the Appalachian Basin using a techno-economic analysis approach. Our research combines elements of well-specific horizontal well design, production forecasting, equipment sizing and capital cost estimation, operating cost estimation, and revenue and tax calculations. Gas production forecast outlook scenarios were generated under varying pressure drawdowns using two approaches: 1) a novel physics-informed machine learning workflow and 2) traditional reservoir simulation. A discounted cash flow model was used to evaluate the resulting economic implications for each drawdown scenario—generating output for exploring the coupled effect of factors like the timing and volume of gas production, prevailing economic and market conditions for natural gas, and overall estimated ultimate recovery on profitability metrics such as internal rate of return and net present value. Results show that there is potential to maximize the cumulative gas produced in the specific case study well by employing a lower pressure drawdown. Conversely, the greatest profitability is achieved using rapid drawdown as signified by a small, specific subset of our outlook scenarios. On an averaging basis, we find that the combinations of highest cumulative producing and most profitable scenarios occur under lower drawdowns with long (>40 years) producing timeframes, but require higher relative gas price and lower discounting considerations. The machine learning predictive outlooking capability proved effective for enabling rapid generation of a multitude of scenario forecasts. As a result, a variety of prominent example cases could be generated to strike the balance of greater productivity and economic return given their associated producing features and economic conditions when compared to similar producing scenarios—critical insight that offers improved decision support for unconventional oil and gas operations.

Functions of the VAT, actual problems of administration

Value added tax (hereinafter – VAT), like other taxes, has certain functions, among which regulatory, incentive, fiscal functions are distinguished. Being an indirect tax assigned to one budget, VAT occupies a significant place in the tax revenues of the federal budget. The degree of performance of certain functions, including fiscal, depends on the level of tax administration of this tax. At the same time, the functions performed by the tax are closely interconnected: strengthening the stimulating function of the tax weakens the fiscal function and vice versa. The relevance of the research topic is due to the importance of VAT in the country’s budget system. The article analyzes the dynamics of tax revenues in general, including VAT, in comparison with the dynamics of Gross domestic product (GDP). the methods used in tax administration, including those not provided for by tax legislation are investigated. Taking into account world experience, measures are proposed to improve the tax calculation mechanism. The purpose of the study is to examine the impact of tax functions, tax administration on budget revenues.

Exploring the Benefits of E-commerce Applications for Efficient Online Operations

An E-commerce application provides a comprehensive solution for businesses to manage their online sales and operations. It enables merchants to set up an online store, list products or services, and accept payments from customers. The platform provides a user-friendly interface for customers to browse and purchase products, track orders, and receive updates on delivery status. E-commerce applications provide tools for managing inventory, shipping, and taxes in addition to selling and processing payments. Retailers can monitor stock levels, restock alerts, and sales reports with the aid of inventory management. Merchants can configure shipping options, print shipping labels, and monitor deliveries thanks to shipping management. The management and calculation of taxes guarantees that businesses follow all applicable local tax laws and regulations. Customer relationship management (CRM) features for e-commerce applications also include email marketing, customer reviews and ratings, and customer support. By offering top-notch customer support, promoting goods, and interacting with customers via email campaigns, these features assist businesses in establishing and maintaining a loyal customer base. Additionally, e-commerce applications offer a variety of analytics and reporting tools that enable retailers to learn more about sales, consumer behaviour, Overall E-commerce applications offer businesses a comprehensive and affordable way to expand their customer base and efficiently run their online operations. E-commerce applications assist merchants in saving time and resources while expanding their online businesses by automating various business processes and offering robust features.

On the Issue of Business Property Taxation

The article explores changes in the definition of taxable objects, the tax base, and the dates when property taxes from legal entities are due. There is a brief overview of the history of origin of property taxes, their formation and development. The authors looked into the order of accounting of taxation objects related to the property of organizations, including real estate and vehicles; analyzed property tax revenues to the budget system of the Russian Federation; and considered some issues of identifying objects of taxation and transitioning to calculation of the business property tax based on the cadastral value of real estate, as well as difficulties of determining whether certain property could be attributed to real estate objects. Real estate becomes subject to taxation only if it is registered in the Unified State Register of Real Estate (EGRN). In practice, however, organizations could own property that is not required by law to be registered in the EGRND, thus the taxpayer could be at risk of failing to pay a true tax liability. In this regard, it is mandatory to take into account taxation of not only real estate, but also movable property. This practice was used in the Soviet Union, when calculating fees for production assets, and in the Russian Federation as well. Such a change will increase revenues to the regional and local budgets and solve the problem of taxation of real estate objects that do not have cadastral value.

THE SIGNIFICANCE OF PROPERTY TAX IN FORMING STATE BUDGET REVENUES

This article analyzes the economic importance of property tax in the formation of state budget revenues and the dynamics of changes in the structure of budget revenues in the following years. Also, in the following years, the property tax calculation and collection of legal entities and individuals and the reforms implemented were studied. Scientific proposals and practical recommendations aimed at increasing state budget revenues and improving the property tax calculation procedure are given.

Efektivitas Pelatihan Perpajakan pada UMKM Fast Boat: Sebagai Upaya Peningkatan Kompetensi dan Kepatuhan Wajib Pajak

The low knowledge of tax administration in one of the fast boat MSMEs has an impact on several things, including MSME compliance in paying taxes, the accuracy of tax calculations, and the timeliness of tax reporting. This study aims to analyze the effectiveness of tax training as measured by the indicators of reaction, learning, behaviors, organizational results, and cost effectiveness. The method used in this research is descriptive method with a qualitative approach, this research is a field research, involving sixteen (16) informants. Data collection techniques used include observation, interviews, documentation with data analysis techniques, data reduction, data presentation, drawing conclusions and data verification. The results of this study, the training method used is a case study in the form of technical guidance in order to solve real problems related to PPh in fast boat SMEs. Tax training for fast boat SMEs has been effective so that it is expected to contribute to increasing taxpayer compliance which has implications for state revenue.
 Keywords: Effectiveness; Competency Improvement; MSME taxation; Tax Compliance

Pelatihan Peningkatan Skill Pelaku UMKM Dan Pengembangan Potensi Ekonomi UMKM Di Desa Wisata Bengkel Tabanan

Bengkel Village is a very strategic location to introduce rural tourism as well as various Subak activities and other cultural attractions that are still maintained. The selection of Bengkel Village as a location for community service is based on several aspects of the problem, namely, human resources and production and marketing. There are still many MSME actors who pay little attention to how to manage finances properly and MSME (Micro, Small, and Medium Enterprise) actors who still experience difficulties in distributing products (goods and services) and many have not maximized online marketing so that they can cover a wider target.The approach is carried out by providing training to the community in Bengkel Village, Kediri District, Tabanan Regency which is a smart village provided by the Ministry of Villages, namely the concept of a village based on digital and information technology. One of the efforts to maximize the potential is, starting from competency improvement training and how to market the products produced. The training provided is in the form of simple bookkeeping, tax calculation training, digital marketing strategy training for business development, and training on using social media as a promotional medium. This activity was attended by 15 MSME business actors in the Bengkel Village. Based on the results of the evaluation of community service activities, it can be concluded that the activities have been carried out in accordance with the needs and expectations of MSME actors in the Bengkel Tourism Village. Through this activity, it is hoped that the community can add insight so that the business is carried out in accordance with their respective plans and expectations.

Reforms to the Israeli income tax

Income tax is a major component of state revenues, earmarked to finance the services provided by the government. Income taxes have a significant impact, among other things, on economic growth and income distribution. According to economic theory, personal income tax—perceived as progressive tax—is the main policy tool of the governments of developed countries and is aimed at reducing inequality in income distribution. The Israeli in- come tax has been through major reforms in the last decade and a half. These reforms include a reduction in income tax exemp- tions, steadily decreasing tax rates, simplification of tax calculation rules, reallocation of resources from the public and revenue sharing by reducing the income tax burden on the middle classes, a transfer from territorially based taxation of income earned or accrued in Israel to personally based taxation of income of Israeli residents, regardless of the place of earning the income. The result of changing the tax system and the transition to taxation on a personal basis means, in practice, an expansion of the tax base in Israel. This paper aims to describe the income tax prior to the reforms and the major reforms that had taken place up to 2017.

Pelatihan Perpajakan UMKM di SMKN 2 Semarang

The lack of student skills, especially in the practice of tax reporting and socialization of tax reporting for students, makes training necessary for students, where this understanding will be embedded in the minds of students when they can become taxpayers. Therefore, the community service team at the Semarang University proposed training activities on MSME taxation for students at SMKN 2 Semarang. The purpose of holding this activity is to provide tax reporting practices in accordance with applicable regulations and increase self-awareness to comply with paying taxes. Community service activities in the form of MSME taxation training are packaged in seminars containing hands-on practice, namely the practice of simple income tax calculations, as well as the final tax reporting mechanism (Final Income Tax) using the DJP System in accordance with the latest tax laws. Tax training was held in October 2022 in the SMKN 2 Semarang. After the activity is carried out, the results of the pretest and posttest can be concluded that students can understand the steps for reporting MSME business taxation properly and correctly according to applicable regulations. Therefore, tax training especially for MSMEs must be carried put early on to raise awareness of tax reporting for graduates, especially those who are going to be entrepreneurs and work so that they can carry out MSME business tax reporting practices properly and correctly according to applicable regulations

Analysis of Calculation of Income Tax (PPH) for 21 Permanent Employees

This study aims to analyze the Calculation of Income Tax (PPH) for 21 Permanent Employees (Studies on Cv. Global Mulya Persada, Cv. Putri Jaya Persada, and Cv. Conscience). The method used in the quantitative approach. The research approach in this thesis uses a quantitative research approach with a descriptive approach. The object of this research is the Analysis of Income Tax Calculation (Pph) for 21 Permanent Employees (Studies on Cv. Global Mulya Persada, Cv. Putri Jaya Persada, and Cv. Conscience). With descriptive research, the researcher only intends to describe (describe) or explain the symptoms that are currently happening. The results of this study indicate that in the procedure for applying the calculation of Article 21 income tax to the income of permanent employees, there is a difference between the calculation of the Article 21 income tax payable according to CV. Global Mulya Persada with the number of calculations according to the Calculation of Income Tax Article 21 which refers to the Income Tax Law no. 36 of 2008. CV. Putri Jaya Persada still uses the old 2015 PTKP tariff. In fact, in 2016 there was a new PTKP as stipulated in the Minister of Finance regulation PMK-101/PMK.010/2016 which is valid until now. As a result, it can be seen that the amount of PPh 21 deposited by CV. Putri Jaya Persada experienced overpayment. CV. Putri Jaya Persada also does not impose fines on permanent employees who do not have an NPWP. In the application of the calculation of PPh Article 21 to the income of permanent employees, it can be seen that the total amount of PPh 21 deposited by CV. Conscience is still underpaid. This is because employee meal allowances are not included as an addition to gross income. Whereas according to the Taxation Law no. 36 of 2008, the meal allowance is one of the components to increase gross income.

Income Tax Calculation and Deposit Analysis

The purpose of this study was to determine whether the calculation of income tax article 22 on the procurement of goods at the Education Office of Tana Toraja Regency has been carried out properly in accordance with the Regulation of the Minister of Finance Number 154/PMK.03/2010 and to determine whether the payment of income tax article 22 on procurement goods at the Tana Toraja Regency Education Office have been carried out properly in accordance with the Minister of Finance Regulation Number 242/PMK.03/2014. This research method is descriptive qualitative and quantitative descriptive by using interview and documentation method. Data analysis using Descriptive Analysis. The results of the study found that: (1) the calculation of income tax article 22 on the procurement of goods at the Education Office of Tana Toraja Regency has been carried out properly in accordance with the Regulation of the Minister of Finance Number 154/PMK.03/2010; and (2) the payment of income tax article 22 on the procurement of goods at the Education Office of Tana Toraja Regency has been carried out properly in accordance with the Regulation of the Minister of Finance Number 242/PMK.03/2014.

Analysis and Application of Calculations Fiscal Reconciliation on Less Corporate Income Pay at Sip Company

Every company in Indonesia currently has an annual financial report, which aims to find outthe performance of a company, besides that the company's financial statements are also used to report and make calculations in paying taxes, financial statements are prepared based on generally accepted principles, namely Accounting Standards Finance (SAK). The background of this study is the result of observations and experiences of researchers, that to determine the calculation of corporate income tax carried out by the SIP company and to compare the calculation of corporate income tax on financial statements made by companies with the Taxation Law. The research used exploratory descriptive analysis method. The research instrument used in this research is the documentation format SIP company financial statements results the conclusion of this study is the analysis of the company's financial statements, indicating that the calculation and reporting of income tax by the company is not in accordance with the tax law. Companies need to calculate the fiscal reconciliation is the most appropriate means used in determining the amount of income tax payable.

Accounting for licenses in medical entities: topical issues and problems

The article reveals the legislative stipulated prerequisites for acquiring the licenses for the provision of services by medical entities, presents the current dynamics of the licensing process, its supporting and limiting factors. The author considers in detail the process of recognition the initial cost of licenses, as a type of intangible assets, in medical organization’s accounting. The main directions of current approaches to the subsequent measurement of licenses and permits by medical organizations are outlined, problematic aspects of the accounting process related to the correct calculation of income tax are identified.

Analysis of The Implementation of MSME Tax Calculations Based On The Tax Harmonization Law Number 7 of 2021 In The Bogor Region

With the enactment of the Law on the Harmonization of Tax Regulations number 7 of 2021, implemented based on the principles of justice, legal certainty, simplicity, efficiency, and national interest, there are several provisions that have an impact on MSME taxpayers, including the imposition of layers of income tax rates (PPH). and changes in non-taxable income, for taxpayers that do not exceed a gross income of Rp. 500,000,000 per year, while taxpayers who exceed gross income of Rp. 500,000,000 to Rp. 4,800,000,000 per year are subject to a 0.5% rate based on PP 23 of 2018 This study discusses the calculation of MSME Taxes with gross income for taxpayers having business in the MSME sector. The method used in this research is qualitative with observations and interviews by analyzing the financial statements of MSMEs and the application of gross Final Income Tax on income from certain business circulations for MSME taxpayers who are food and beverage distributors in 2021, in accordance with Law number 7 of 2021 subject to tariffs Final PPH every month for the efforts of the taxpayer on certain business income

WORLD PRACTICE OF MOTOR VEHICLE TAXATION

The tax on vehicles is classified as direct and is credited to local budgets. Its role in the revenues of local budgets of the leading countries of the world is constantly increasing, as the number of vehicles has a constant upward trend. Even with the destruction of transport and logistics chains in the world, the number of cars is growing due to the emergence of new types of vehicles. In the near future, a transport revolution is expected in the world. And this is due not only to the growing use of electric vehicles, but also to the introduction of non-traditional modes of transport into the public sphere.Also, the calculation of transport tax is constantly changing and improving all over the world. In a word, it has a dynamic behavior, unlike, for example, such a tax as the land tax. In this regard, a brief study of the transport taxation of the leading countries should be carried out.

REAL ESTATE TAX COMPARISON OF THE BALTIC STATES

Real estate tax is the only tax that is 100 % amount is transferred to the municipal basic budget. The aim of the study is to analyze the calculation of real estate tax and the application of benefits procedures in the Baltic States and to compare them. Novelty of the research: the author compared the real estate tax in the Baltic States, performed an assessment of rates, taxable bases and benefits. The criteria for determining the real estate tax - the tax base, rate and benefits differ significantly in Latvia, Lithuania and Estonia. The name of this tax is different in the Baltic States, because there is not only a real estate tax, but also a land tax. The tax base can be both cadastral value and market value. Comparing Latvia with Lithuania and Estonia, real estate tax in Latvia is the highest in relation to the average gross salary.

Digitalization of the tax system: current state, problems and prospects

The article explores the issue of digitalization of the tax system in Ukraine. The functioning of automated information systems in tax calculations is disclosed, as well as the taxpayers’ interaction with the State Tax Service in the electronic environment is highlighted. The key challenges of digitalization of the tax system are noted, and the need to make use of the latest information technologies to improve the interaction between taxpayers and state financial control bodies is determined. The features and procedures of the subsystem of the Information and Telecommunication System of the State Tax Service «Tax Block», which is used to enter, process, store and provide up-to-date and reliable data, as well as to ensure the interaction with the information systems of the State Tax Service and state bodies in accordance with the legislation of Ukraine and the taxpayers’ information needs, are outlined. The segments of the Information and Telecommunication System «Tax Block» are considered: taxpayers’ registration; processing of tax reporting and payments; tax audit; analytical system; accounting of payments. The essence and procedures of the subsystem of the Information and Telecommunication System of the State Tax Service are disclosed. The principal electronic services employed by taxpayers are characterized, such as: public knowledge-management resource; information from registers; payer’s electronic cabinet; electronic reporting; Software registrar of settlement operations; service «Pulse»; interactive tax map of Ukraine. The features of utilizing a number of effective services developed by the State Tax Service of Ukraine within the framework of implementing the digital transformation strategy, in particular InfoTAX, are presented. The advantages of using the state-of-the-art information technologies in tax calculations are outlined. The attention is focused on the fact that when developing a tax digital system, it is necessary to take into account the following aspects: flexibility; continuous improvement of information support, hardware, software; universality; accessibility; order of use; compatibility; data security; reliability. In this context, the measures have been proposed to computerize tax calculations of taxpayers and state control bodies.