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In 2024 the value added tax becomes 70 years old. This “crown of fiscal technique” arose on the basis of the turnover tax, which in turn was a product of the ancient excise tax. Today value added tax is the backbone of the tax system in almost all countries of the world. This paper is dedicated to the prehistory of the tax, the pioneering experience of France (and the European Union) from the middle of the last century and the implementation of the value added tax in Bulgaria.

The recent implementation of a 1% turnover tax on companies exceeding €50 million in annual turnover by the Romanian government aims to secure a minimum tax contribution from large corporations, a move that directly impacts those in the grain trade, where profit margins are well-known slimdue to the volatile nature of global market prices and fierce competition. The analysis conducted in this study highlights the financial dynamics of the last five years for the largest grain trading entities in Romania, such as Ameropa, Cargill, CHS, COFCO, and Viterra. The simulation of the 1% turnover tax reveals a dramatic increase in tax liabilities for these companies, with the projected tax payments under the new regime nearly equating to their combined gross profits of €196.96 million, a stark rise from the €32.32 million paid under the old profit tax system. This significant increase in tax burden underscores the potential risks and challenges facing the agricultural sector. For grain trading companies, the new tax could necessitate a re-evaluation of cost structures and operational efficiencies to maintain profitability. The study suggests that these companies may have to adjust their purchasing prices or seek other avenues to offset the increased fiscal demands, potentially affecting the entire supply chain, including Romanian farmers. Farmers, in turn, could see a reduction in their income and investment capacity due to lower purchase prices for their produce, complicating the financial sustainability of rural areas. Furthermore, the limited ability to pass on additional costs in the export market, given the competitiveness of global prices, could strain the sector's profitability. [ABSTRACT FROM AUTHOR]

In 2024 the value added tax becomes 70 years old. This "crown of fiscal technique" arose on the basis of the turnover tax, which in turn was a product of the ancient excise tax. Today value added tax is the backbone of the tax system in almost all countries of the world. This paper is dedicated to the prehistory of the tax, the pioneering experience of France (and the European Union) from the middle of the last century and the implementation of the value added tax in Bulgaria. [ABSTRACT FROM AUTHOR]

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Value-added taxation (VAT) is an essential component of the financial system of any modern state, which determines the attention of the legislator to the development of its legal regulation, as well as the subject of this article. The processes of transformation of VAT legal regulation systems that are observed in the BRICS countries (the People’s Republic of China, the Republic of India, the Federal Republic of Brazil, the Russian Federation, and the Republic of South Africa) demonstrate the greatest activity in this area of legal relations. The task of studying such changes, which makes it possible to identify common features and individual features of various types of legal regulation of value-added taxation, is solved on the basis of an integrated assessment of the characteristics of the tax redistribution of value added. Based on the results of their research, the types of legal regulation of VAT in the BRICS countries are identified and the place that the Russian model of legal regulation of VAT occupies in this classification is determined.

This article aims to give background information of the combined business tax statistics 2016 of the Federal Statistical Office of Germany. The micro data set includes the different German business tax statistics, which are linked together (i.e. trade tax statistics, corporate income tax statistics, turnover tax statistics, statistics on business partnerships and associations as well as additional information of the statistical business register). With more than three million businesses the micro data set provides linked information on the German business structure and is available in anonymised form for scientific use at the Research Data Centre of the Federal Statistical Office. [ABSTRACT FROM AUTHOR]

Value-added Tax (VAT), a turnover tax levied on the value appreciated in commodities production, circulation and sale, has been widely practiced by economies worldwide for its neutrality. From the international perspective, European Union VAT and New Zealand VAT stand out as characteristic models of VAT development and reform history. With changing economic development models and the growth of e-commerce businesses, VAT systems have been upgraded to meet taxation challenges brought about by the digital economy. Recently, VAT policies and measures have been introduced particularly to combat the COVID-19 impact. In China, the VAT system has been reformed constantly over the past 40 years and has been converging with international practice. China now needs to address emerging VAT issues through legislation, tax incentives, and tax-rate grades so as to meet challenges in VAT collection and management and to suit the “new normal” of economic development. [ABSTRACT FROM AUTHOR]

Value-added taxation is a multidimensional theoretical, fiscal and legal structure. It also serves as a tool for the practical transformation of political, legal and socio-economic relations. The objective of the research is to study new concepts of value-added taxation formed in the two largest BRICS economies (the People’s Republic of China and the Republic of India). The assumption is that not only “European” model of the legal regulation of VAT can be successful, but alternatively “Chinese” and “Indian models.” The author examines and evaluates changes in the legal structure of value added tax in general, and its elements focusing on the current stage of legal regulation of national systems of VAT (GST) in China and India. In addition, the political, legal, social and economic effects of the legal mechanism of VAT (GST) in China and India from 2017 to 2020 are demonstrated.

To liberalise taxation and support business during martial law, the government introduced a 2% rate on turnover instead of VAT and income tax. The calculations confirm the planned reductions in budget revenues as a result of changes in the tax system; these reductions are not likely to be temporary. The changes introduced by the government are not a tax reform, but a need to support taxpayers during the russian federation's aggression. In such a difficult economic environment for domestic enterprises, it is relevant to study advantages and disadvantages of a new tax policy, which may (or may not) be pursued even after the repeal of martial law. The analysis of the economic nature of universal excise taxes or, as they are also called, consumption taxes (value-added tax, turnover tax, sales tax), proved that the most transparent administration and accrual are characteristic of the retail sales tax. It was studied that when levying a retail sales tax, it was difficult to identify the end-user. The disadvantage is that the state budget receives money once at the stage of the commodity last sale. A value-added tax would optimally balance budget revenues. However, the VAT mechanism is considered by most experts to be extremely corrupt due to the end-to-end control by government agencies over the actual payment of VAT, resulting in the embezzlement of public funds. Among the radical options for VAT reform, the proposal to replace VAT with a turnover tax is often considered. We fully support the generalization that the tax pyramiding of the accrual of turnover tax is a prerequisite for abandoning it all the same in favour of value added tax. Moreover, it is impossible to integrate the Ukrainian tax system into the European one without VAT. At the same time, EU tax legislation provides for simplified VAT procedures as flat-rate schemes, which is implemented in domestic practice in the form of a flat tax mechanism. Based on this study, it can be argued that the current taxation model in Ukraine is universal, namely, a combination of VAT and turnover tax application for business entities. The main objective shall be further improvement of these payments and their administration. [ABSTRACT FROM AUTHOR]

Starting in 2016, many countries enacted digital services taxes (DSTs), a turnover tax that applies to digital companies regardless of whether they have a physical presence in the taxing jurisdiction. After the Organization for Economic Cooperation and Development's Inclusive Framework reached final agreement on its two-pillar solution to tax challenges in a global digital economy, these unilateral measures went on pause. This Note reflects on the recent DST phenomenon, reconceptualizing the DST debate as part of a broader discourse on global governance and globalization. Although DSTs first emerged in developed countries in the European Union, this Note analyzes developing country DSTs against the backdrop of vocal U.S. opposition. This Note demonstrates that the DST discourse confirms long-held suspicions of developing countries regarding the international economic law that shapes the course and outcomes of economic globalization more broadly. Nonetheless, this Note argues that the DST debate and the resulting Pillar One solution reflect important positive changes to the archetypal globalization and global governance narratives. Taking stock of these changes, this Note concludes that DSTs are and were a powerful negotiating tool for developing countries in their attempt to reorient the principles of international tax toward a more equitable distribution of taxing rights and to recognize broader tax goals beyond economic profit. [ABSTRACT FROM AUTHOR]

Recent years have seen the rapid descent of relations between the United States and the People's Republic of China (PRC). Hopes for cooperation in places of common concern like climate change gave way to strains in almost all areas. In place of "engagement," the administration of Donald J. Trump adopted a tougher approach of "strategic competition" that its successor so far has continued. This article explores the relationship between the demise of engagement and opinions coming from the American China expert community. Specifically, it questions the impact on engagement of five secular dynamics that these China authorities have experienced—generational turnover; the field's vast expansion and diversification; increased disciplinary specialization; the enhanced prominence of the generalist in national security discussions in place of China specialists; and changes in the media leading to more skeptical journalistic voices on U.S.-PRC relations. Without over-emphasizing either the influence of the expert community on U.S. decision-making, or underplaying the more repressive and authoritarian actions of the Chinese Communist Party, this article suggests that the China expert community has been more of a factor in the end of engagement than current accounts of academics and commentators acknowledge. [ABSTRACT FROM AUTHOR]

In order to meet a variety of locally relevant socio-economic expectations and needs, Hungarian tax policy in the last decade has applied a number of unconventional instruments. The government favored in particular the imposition of additional taxes on corporate taxpayers in specific sectors of the national economy. The taxation of turnover in addition to corporate profits has proved to be a particularly attractive idea. These measures pursue declared objectives which any national government that is faithful to its political mandate could endorse as its own. However, the design of these taxes and their related regulatory hiatuses, which have been subject to extensive scrutiny before the courts of the European Union, raise the possibility of their abusive and discriminatory use to the disadvantage of select individuals, in particular non-national corporate taxpayers. This element of contemporary Hungarian tax policy may well be considered as forming part of the government's populist policy agenda. [ABSTRACT FROM AUTHOR]

In South Africa, minibus taxis are a crucial mode of public transport for many commuters and a vital informal business sector with an estimated value of R90 billion. Concerns have been raised that the South African Revenue Service (SARS) is not collecting the optimal amount of tax revenue from this industry, with estimated tax collection at only R5 million in 2021. As a result of concerns that this industry might be involved in tax evasion or massive tax avoidance, this study investigates the taxation of minibus taxis in South Africa and explores alternative tax regimes that could be implemented to improve revenue collection. The study compares the current South African turnover tax system for minibus taxi operators to other African tax systems and evaluates a viable alternative tax regime or tax collection system. To improve tax collection from the industry, South Africa could consider a tax system tailored to the industry’s informal nature, utilising metrics such as vehicle seating capacity or distance travelled. A standardised tax system for small, medium, and micro enterprises may not be suitable. Consultation with industry stakeholders is essential for the proposed tax system to be acceptable. The study’s findings could inform South Africa’s National Treasury in creating a tax structure or collection scheme targeting the minibus taxi industry. This could increase tax revenue collection from the industry and support government expenditure, including income and wealth redistribution. This study distinguishes itself from prior publications on the South African minibus taxi industry by addressing tax compliance and collection challenges. It offers recommendations for alternative tax regimes to mitigate these challenges. [ABSTRACT FROM AUTHOR]

The article examines the feasibility and relevance of reforming corporate income taxation in Ukraine. We have scrutinized scientific researches of domestic and foreign scientists. The low fiscal efficiency of corporate income tax has been investigated and a stable relationship has been detected between the level of tax payment and a set of additional factors, namely the level of corporate management, the form of ownership and public attention. The high weight of the payment of income tax in the overall structure of the top-30 enterprises of Ukraine for the payment of taxes was noted. The international experience of corporate income taxation is analyzed and summarized. The necessity of replacing the income tax with another type of corporate income taxation has been substantiated. Systemic problems of the effectiveness of the existing models of corporate income taxation in the world are noted. The negative impact of low-tax on the functioning of tax systems in a lot of countries and the creation of the effect of uneven tax burden is emphasized. Information on the practical experience of introducing a tax on withdrawn capital in the foreign countries has been systematized. The low efficiency of that concept and the inexpediency of using this concept in the modern domestic conditions have been investigated. The possibility of replacing the value added tax has been assessed and the critical dependence of the budget incomes on the tax has been established. Concept of reforming corporate income taxation was developed and substantiated by introducing 1% turnover tax in addition to value added tax and the complete abolition of income tax. The volume of tax receipts for 2010—2019 has been estimated in the case of the introduction of author's concept of corporate taxation of income instead of current taxation system. The positive consequences for Ukrainian economy have been evaluated and systematized. Strong need to form a new tax culture and philosophy of interaction between representatives of tax authorities and business was emphasized. [ABSTRACT FROM AUTHOR]

In recent years, the European Union is taking more and more decisive tax harmonization measures for the Member States and for combating aggressive tax planning. The measures are supported by the European Commission and some Member States on the grounds that the single rules will simplify the calculation and reporting of corporate income tax, increase national budgetary receipts and decrease administrative costs. The evolution of the economy in the digital sphere has also been taken into account, which requires new approaches regarding taxation and the definition or redefinition of certain terms currently used. Opponents of the amendments invoke the principle of subsidiarity in Community law, as well as the application of provisions different from those issued by the OECD in terms of transfer prices –the BEPS project (Base Erosion and Profit Shifting). Also, the harmonization of the accounting provisions can be a significant obstacle, the criteria for recognizing the income and expenses can be substantially different in the new context.

As part of the South African government’s strategy for accelerated growth, the DTI and the National Treasury introduced various support initiatives for the SMME sector. One of these initiatives was in the form of tax relief for qualifying SMMEs. The government of South Africa introduced the turnover tax system to assist SMMEs in reducing their tax compliance costs and administrative burden, anticipating that this will free up SMMEs to grow and further the economy. This study aimed to determine whether the turnover tax relief system is utilised by the SMMEs as anticipated by the South African government. An inductive, exploratory and qualitative research method was used in this study where questionnaires were provided to SMME business owners as an introduction into their perceptions and knowledge of the turnover tax system, followed by interviews to obtain additional qualitative information. The results provide valuable insight about the perceptions of SMME owners regarding the turnover tax system in South Africa.

This paper explores legal regulation and practical application of an institute of unreliable VAT payer in the Czech Republic. The paper presents the most important conclusions made by the author within his dissertation research. The first aim is to introduce the institute of unreliable VAT payer and a mechanism of its application to foreign readers in order to enable cross-border comparisons with similar tools used in other states. The second aim of the paper is to confirm or disprove a hypothesis that legal regulation of the institute of unreliable VAT payer does not suffer from any serious deficit which would make it impossible to use this tool properly. The author mainly applies analysis, synthesis and description method. The author came to a conclusion that unreliable VAT payer is a functional tool in practice, but it suffers from several fundamental constitutional deficits. [ABSTRACT FROM AUTHOR]

The article offers information about the relations between tariff delimitation and the principle of neutrality of tax law. It determines the scope of application of the reduced tax rate according to sales tax law, along with mentions the German value-added tax regulations, laid down in the Turnover Tax Act (UStG).

The article focuses on effect of the invoice correction on the time of original issue and input tax deduction without having a proper one bill. It mentions European Court of Justice (ECJ) ruled that the right to deduct cannot be refused simply because the invoice which the taxpayer has, not all of the formal requirements. It also mentions subsequent sales level be used for the purposes of its taxed sales and they on a previous level of turnover.

The article reports on taxes on sales of telecommunications companies. It notes that legislation of a Member State with which a progressive value added tax is introduced, the effective tax burden of which is born mainly by companies that are directly or indirectly controlled by nationals of other Member States or by companies based in another Member State. They are reportedly companies with the highest turnover on the relevant market and the total turnover of the taxpayer.

The article examines how to offsett sales tax with country casino fees contrary to the system and case law on gambling sector revenues. It notes that the crediting of sales tax is more accurate, including amount on the non-harmonized casino fees of the federal states. It adds that taxation is of publicly licensed casinos and in particular turnover taxation has long been in need of reform.

The article presents sales tax conversion rates for the month of May 2019.

Tax relief initiatives have been introduced by the South African government in order to assist small business to grow and become sustainable. The high failure rate of businesses coupled with the alarmingly high rate of unemployment in the country is the main reason the government embarked on these initiatives and strategies. The different tax initiatives available to qualifying small businesses include small business corporation tax and turnover tax. The research has been undertaken to determine if small business tax initiatives introduced by SARS are effective and are being utilised by small businesses. A questionnaire was sent to eighty five small business owners to determine if they are aware of small business tax and turnover tax and also to determine if they are utilising these initiatives. The findings from this study reveal that approximately half of the respondents do not know about these specific tax initiatives. Only a small percentage of small business are eligible for small business tax and none of the respondents in the sample are eligible for turnover tax. The majority of small business owners agree and strongly agree that the initiatives introduced by the government are ineffective and need to be revised. [ABSTRACT FROM AUTHOR]

Purpose The maintenance department of today, like many other departments, is under sustained pressure to slash costs, show outcome and support the assignment of the organization, as it is a commonsensical prospect from the business perspective. The purpose of this paper is to examine expected maintenance waste reduction benefits in the maintenance of organizations after the implementation of just-in-time (JIT) managerial philosophy. For this, a structured questionnaire was designed and sent to the 421 industries in India.Design/methodology/approach The designed questionnaire was divided into two sections A and B to assist data interpretation. The aim of the section A was to build general information of participants, type of organization, number of employees, annual turnover of the organization, etc. Section B was also a structured questionnaire developed based on a five-point Likert scale. The identified critical elements of the JIT were included in the questionnaire to identify the maintenance waste reduction benefits in the maintenance of organizations.Findings On the basis of the 133 responses, hypothesis testing was done with the help of Z-test, and it was found out that in maintenance, we can reduce a large inventory of spare parts and also shorten the excessive maintenance activities due to the implementation of JIT philosophy. All the four wastes: waste of processing; waste of rejects/rework/scrap in case of poor maintenance; waste of the transport of spares, and waste of motion, have approximately equal weightage in their reduction. Waste of waiting for spares got the last rank, which showed that there are little bit chances in the reduction of waiting for spares after the implementation of JIT philosophy in maintenance.Practical implications The implication of the research findings for maintenance of organizations is that if maintenance practitioners implement elements of JIT philosophy in maintenance then there will be a great reduction in the maintenance wastes.Originality/value This paper will be abundantly useful for the maintenance professionals, researchers and others concerned with maintenance to understand the significance of JIT philosophy implementation to get the expected reduction benefits in maintenance wastes of organizations which will be helpful in the great saving of maintenance cost and time side by side great increment in the availability of machines. [ABSTRACT FROM AUTHOR]

In recent years, the European Union is taking more and more decisive tax harmonization measures for the Member States and for combating aggressive tax planning. The measures are supported by the European Commission and some Member States on the grounds that the single rules will simplify the calculation and reporting of corporate income tax, increase national budgetary receipts and decrease administrative costs. The evolution of the economy in the digital sphere has also been taken into account, which requires new approaches regarding taxation and the definition or redefinition of certain terms currently used. Opponents of the amendments invoke the principle of subsidiarity in Community law, as well as the application of provisions different from those issued by the OECD in terms of transfer prices - the BEPS project (Base Erosion and Profit Shifting). Also, the harmonization of the accounting provisions can be a significant obstacle, the criteria for recognizing the income and expenses can be substantially different in the new context. [ABSTRACT FROM AUTHOR]

The South Africa Turnover Tax system, implemented on 01 March 2009 to simplify tax for microbusinesses and to improve tax compliance had an insignificant number of registrations and research indicated that a possible reason is the fairness of the tax. The aim of this study is to explore the perceived fairness of the Turnover Tax system. By way of a literature review, criticisms and provisions of the Sixth Schedule to the Income Tax Act No. 58 of 1962 were identified and used as statements on a survey questionnaire. Using the principles of a fair tax system as advanced by Adam Smith a correspondence survey which included two open-ended questions was issued to participants with knowledge of Turnover Tax to establish whether the statements corresponded to any of Adam Smith’s Maxims. The results reveal that the Turnover Tax system is not perceived as completely fair and encourage Government to relook at the legislation with the intend to simplify it further, to removing ambiguity and add detailed lists of excluded services. Education and training of taxpayers is important. A repetition of this study on taxpayers registered on the Turnover Tax system will make further contribution and add to the insight into the fairness of the Turnover Tax system provided by this article.

In Ukrainian tax system VAT performs mostly fiscal function and is the major source of budget revenues as it has wide and stable tax base. Taking into account the international experience, the discussion is ongoing in Ukraine on feasibility of implementation of universal excise other than VAT (turnover tax) as a part of a hybrid system of universal excises. Regarding the foregoing, the peculiarities of turnover tax administration in Curacao, Haiti, North Korea and simultaneous existence of turnover tax and VAT in Argentina, Kyrgyzstan, and Kazakhstan are considered in the article. Theory and practice have shown that simultaneous existence of turnover tax and VAT is possible and justified within the conditions as follows: high level of shadow economy; low quality and efficiency of public institutions; budget deficit; significant state intervention in the economy; combating illegal VAT refund; closed internal market; small volumes of foreign economic activity; low growth rates of macroeconomic indicators. As a result the possible steps of simultaneous existence of turnover tax and VAT are defined, namely:  reduction of VAT rate to the economically justified level taking into account international trends;  implementation of the turnover tax at the level of 1-3 % taking into account factors as follows: level of profitability of each industry or type of business entity; foreign trade and trade balance; providing particular benefits for socio-economic development, etc.;  using of hybrid system of universal excises in the short term (3-4 years) as a part of anti-crisis measures;  imposition of both taxes at the state level. As a conclusion it is noted that there is a persistent problem in simplification of VAT administration and increase of tax revenues, which determines the future needs to research the applicability of using universal excise other than VAT taking into account the peculiarities of Ukrainian tax system.q [ABSTRACT FROM AUTHOR]

Regional industrial restructuring has been one of the major items in the transformation of economic development mode. An exploration was made into the influence of tax arrangement on the regional industrial structure by setting up a panel data econometric model based on the evaluation and analysis of the regional industrial structure in China. It was shown that tax arrangement influenced the regional industrial restructuring in terms of three aspects. Microlevel: the turnover tax and income tax appeared with a U-path of influence on upgrading of the industrial structure while appearing with an inverted U-path of influence on rationalization of the industrial structure. In addition, the levy of resource tax had a negative impact on both upgrading and rationalization of the industrial structure. Mesolevel: taxation in the secondary and tertiary industries appeared with a U-path of influence on upgrading of the industrial structure. An increase of taxation in the secondary industry had a negative impact on rationalization of the industrial structure. The taxation in the tertiary industry appeared with an inverted U-path of influence on rationalization of the industrial structure. Macrolevel: the macrotax burden had a U-path of influence on both upgrading and rationalization of the industrial structure. [ABSTRACT FROM AUTHOR]

Although the Low-Income Housing Tax Credit (LIHTC) program has grown into the largest subsidized housing program in the United States, we have limited understanding of how these units affect the neighborhoods in which they are located. This article examines impacts of the LIHTC program on neighborhood stability in the cities of Charlotte and Cleveland. We examine housing turnover before and after the introduction of LIHTC developments into the neighborhood, based on housing sales data from 1996 to 2007. Location data on LIHTC units are merged with parcel-level sales data from Mecklenburg and Cuyahoga Counties. We estimate an extended Cox hazard model with the difference-in-difference specification to determine whether LIHTC units are causing increased turnover of neighborhood housing. We also explore impacts on neighborhood stability from LIHTC developments citywide and in neighborhoods stratified by income. We find significant impacts on the stability of LIHTC developments in both cities. Particularly, in higher-income submarkets, strong spillover effects were observed in Charlotte. Our results suggest that the stability of neighborhoods may be an important factor when considering the siting of LIHTC developments. [ABSTRACT FROM AUTHOR]

To fight evasion, many developing countries use production-inefficient tax policies. This includes minimum tax schemes whereby firms are taxed on either profits or turnover, depending on which tax liability is larger. Such schemes create nonstandard kink points, which allow for eliciting evasion responses to switches between profit and turnover taxes using a bunching approach. Using administrative data on corporations in Pakistan, we estimate that turnover taxes reduce evasion by up to 60-70 percent of corporate income. Incorporating this in a calibrated optimal tax model, we find that switching from profit to turnover taxation increases revenue by 74 percent without reducing aggregate. [ABSTRACT FROM AUTHOR]

The article offers information on topics related to research and development tax incentive (R&DTI) in Australia. Topics mentioned include the tax policy by the Australian Taxation Office (ATO), the R&DTI developed by ATO and Innovation Australia, the percentage of deductions for (R&D) based on turnover of companies, and the effects of R&DTI to companies.