In many countries around the globe, failure to pay taxes is an offence punishable by imprisonment or by heavy penalties which may smoke a business entity from operations. Many governments have employed revenue authorities in order to assist them collect revenue from all the taxpayers. Such authorities command unfettered powers from the central government to […]
In many countries around the globe, failure to pay taxes is an offence punishable by imprisonment or by heavy penalties which may smoke a business entity from operations. Many governments have employed revenue authorities in order to assist them collect revenue from all the taxpayers. Such authorities command unfettered powers from the central government to enable them deal ruthlessly with the defaulters and other offenders who may perpetuate illegal tax actions. Many governments which are popularly elected through popular will of the majority use taxes in running their day to day activities.
This is because they are sanctioned to collect such taxes from all the citizens who elected them to office. This collection of taxes should be economical in all angles. The cost of collecting the taxes should not surpass the taxes collected. In addition, the taxes should be invested in economic activities which add value to the local citizen. There have been cases where some sitting governments have spent taxes to finance funny activities and at the end of the day, the citizens are denied an opportunity to enjoy the fruits of their sacrifices considering that taxes are a sacrifice from the ordinary citizens.
Research and development tax incentive is one method through which many governments reduces the cost of collecting taxes and increase the revenue collected. This is in the context that after such incentives, many small business loans Adelaide will undergo growth and at the end of the day, the government will earn more in terms of taxes since there will be more investment in the economy as a result of the incentives. Manyentrepreneurs in the world are looking for conducive working environment where they can do business and achieve high levels of success.
This cannot be achieved if the government is charging high taxes and other additional charges incidental thereto. There should be concerted efforts amongst the government officials to ensure that each and every business has access to conducive working environment which can guarantee their success. Many businesses are moving from one cuntry to another in search of better working conditions and favorable tax regimes which can enable them achieve high success rates. Go here for more information regarding short term business loans
All governments should work hand in hand to curtail such movements since they will dent a country’s image and reputation both in the short and long run. At the end of the day, a country with high tax regimes for no apparent reason will end up losing all the investors both potential and existing to its competitors. This will reduce its economic expansion as well as the gross domestic product. Eventually, this will culminate to high levels of poverty and the living standards will go down considerably.
It is important to ensure that all businesses are treated equally before the eyes of the law. Each business should be made to account for all its activities both business and otherwise without favor or fear. To achieve this, Australian Federal Government grants small business access to the revenue authorities in order to cultivate the culture of tax payment.