Development and Formation History of Profit Taxation

Research relevance determined by the importance of tax regulation, which allows the state to concentrate its financial resources, with the ability to significantly influence the economic development of the country at every stage of its development. The article examines the processes and stages of the emergence and evolution of theses on the essence of taxation. Research objectives: analysis of the main and fundamental tax theories, as well as tax systems of ancient states. Research materials and methods: analysis of the history of formation, development, evolution of one of the initial forms of taxation — payment (tax) from the people. Also considered the legal content and the economic content of the tax. Research results: the basic principles of taxation are considered on the basis of the definitions of Adam Smith, who established the basic principles of taxation, which exist and operate to this day. An assessment and comparison of taxation in Kyrgyzstan with other countries is given. Conclusions: a decrease in the tax rate will entail an increase in production, which in the future will compensate for a temporary decrease in tax revenues.

Examining Tax Strategy Choice

Most recent tax research examines the level of firms' effective tax rates (ETRs), focusing on tax avoidance. However, theoretical work and research on book-tax tradeoffs and reputational costs indicate some firms have other tax planning goals. Moreover, anecdotal evidence suggests consistent tax outcomes are important; therefore, the volatility of ETRs may be an alternative aspect of firms' tax planning. In this study, I find some firms utilize a second, distinct approach to tax strategy - maintaining low ETR volatility - by documenting systematic differences in firm characteristics associated with each tax strategy approach and a predictable shift in characteristics when firms change tax strategies. In combination, these results identify at least two distinct approaches to tax strategy. I also find firms exhibiting low ETR volatility earn significantly higher median buy-and-hold returns than firms exhibiting low ETR levels, consistent with benefits to alternative tax strategies.

The Empirical Evidence on Taxpayers’ Intention to Claim Zakat Payment as a Tax Rebate

Malaysia is one of the Islamic countries that integrate zakat in the tax system; Muslim individual taxpayers can minimize tax payment by claiming zakat paid as a tax rebate which is deducted from the amount of total income tax. Although zakat rebate has been applied in the tax system more than 20 years, there is lacking research on its effectiveness to increase zakat and tax payment compliance. This study is a step forward for more zakat rebate and the integration of zakat and tax research. The objective of this study is to examine Muslim individual taxpayers’ intention in claiming zakat as a tax rebate. This study adopts the variables in the Theory of Planned Behaviour (i.e. attitude, subjective norm, perceived behavioural control) and include knowledge as the variables. The quantitative research methodology was applied by using a questionnaire. This study found that all variables have significant influence on Muslim individual taxpayers’ intention in claiming zakat payment as a tax rebate. The results of this research not only expand the minimal literature on the integration of zakat in the tax system, but also provide empirical evidence to the tax and zakat authorities in understanding the behaviour of Muslim individual taxpayers.

ChicagoLand Popcorn® - Examining Online Retailer Nexus Following Wayfair Using Data Visualization and Robotics Process Automation

Students use data analytics to evaluate fictitious online sales data and explore sales tax nexus standards following South Dakota v. Wayfair, Inc. ( Wayfair). This case provides instructors flexibility. Students can use Tableau to create visualizations that identify states with sales satisfying nexus standards, applying the Wayfair or multistate standards. Students can use Robotics Process Automation to evaluate whether the company established nexus in a particular state. Instructors can include no tax research or select from several pertinent tax research questions. This case can be used in undergraduate or graduate tax, audit, or AIS courses, from compliance or tax risk perspectives. The learning objectives are to develop students’: (1) knowledge of data analytics; (2) knowledge of economic nexus and assess the tax law changes impact on business decisions; (3) research skills; (4) skills specific to data analytics and data visualization in accounting; and (5) effective oral and written communication skills.

Making the Trade in the National Basketball Association (NBA): A Research Case Exploring Like-Kind Exchange Treatment Post Tax Cuts and Jobs Act

The primary aim of this activity is to explore tax issues related to an exchange of non-financial assets. Students are presented with a case that involves a fictional trade of players between two teams in the National Basketball Association, the Milwaukee Bucks and the Washington Wizards. Using a trade date of January 1, 2018, students are presented with the opportunity to explore the treatment of a non-financial asset like-kind exchange post Tax Cuts and Jobs Act of 2017. In addition, students are challenged to determine the definition of fair market value and how its calculation could have a substantial impact on the finances of a professional basketball team. Data gathered from pre and post-questionnaires, including both objective measures and student experiential feedback, supports the usage of this activity. Results show that this case increased students' ability to understand and summarize relevant information from a complex set of facts while also growing their tax knowledge and tax research skills.

The entangled state: How state-business relations shaped the German corporate tax regime

Contemporary tax research is split into two camps: comparative approaches emphasize continuity and cross-country differences, while the globalization literature stresses similar changes across countries. Counter the continuity thesis, this paper finds that neoliberal dynamics were at play in a case considered largely resilient to such dynamics: German governments implemented a series of corporate tax reforms which radically curbed business taxes and added a short-term and cost-cutting component to investments and corporate finance. While these changes point towards neoliberal change, they were distinct from the trends we see in other economies: crucially, the German reforms did not follow the common trend of reducing taxes for individuals and entailed a particular emphasis on enhancing multinational’s access to international capital – but did not liberate financial incomes from tax in general. Based on archival documents from the Bundestagsarchiv, this paper traces the process of German tax reforms and finds that neoliberal dynamics were at play but received a local (export-oriented) colour through processes specific to the German polity. Because consensual institutions granted power to a specific business coalition, radical change was long blocked. Reforms could only be implemented once the state forged a new coalition. Making sense of the mediation of neoliberal dynamics through state institutions can contribute to a better understanding of the variegated nature of neoliberalism.

Electronic Commerce and Actual Problems of Taxation

This chapter examines the problems related to the international taxation of electronic commerce and identifies the alternative solutions that have been adopted in the current fiscal framework. The results obtained demonstrate the proposed models of e-commerce taxation based on existing international legislation, notably origin-based taxation, tax withheld at source and technology based solutions. This study argues that any legislative change should be implemented by a number of countries or through international efforts to harmonize practices, and sets out the future directions in the taxation of e-commerce. This chapter contributes to the scientific knowledge to accounting and tax research on the taxation of e-commerce.

Pengaruh Probability Of Audit Dan Gender Terhadap Perilaku Penggelapan Pajak

Tax evasion behavior will have an impact on the poor performance of taxation which can affect the government's ability to provide public services. It is important to identify the causes of tax evasion behavior in order to adopt a policy and reduce the negative effects of this phenomenon. Broadly speaking, there are two approaches to explain the factors that influence taxpayer behavior on compliance and tax evasion, namely the economic approach (external factors) and the socio-psychological approach (internal factors). This study used a quasi-experimental design with a 2x2 mixed factor design to test the effect of probability of audit (external factors) and gender (internal factors) on tax evasion behavior. The hypothesis in this study was tested using repeated measures ANOVA. The results of this study indicate that subjects in a low probability of audit condition tend to commit tax evasion. The results of this study also found that there was a gender influence on tax evasion behavior, where men were more likely to commit tax evasion than women. Furthermore, the results of this study found that there was an influence of the interaction between probability of audit and gender on tax evasion. This study contributes to the accounting and taxation literature, especially in the use of experimental methods which are still small in tax research