The Corporate Tax Transparency Report Essay

Before reading the paper, I had no idea what “horizontal equity” and “vertical equity” were. These terms were described in detail at the beginning of the paper and allowed me to more thoroughly understand the key points that the authors made. When explaining how certain parts of the Australian tax system function, the authors made analogies to compare the tax system in Australia to that of other countries, such as the United States. However, some words and terms that the authors used were not clearly defined in the text. Luckily, I have had experience with some of the vocabulary words that the author used, such as "tax burden” and "progressive income tax system". Although, When it came to terms like “marginal income tax”, I had to do further background research so that I could gain an in-depth understanding of what the authors were saying. The authors state, "at the end of 2012, the marginal income tax rate for a person on average weekly earnings had risen to 37%". This left me wondering what marginal income tax is, and why Australia’s marginal income tax had fluctuated so much; neither of these items were explained in the paper. I believe that an average reader, with very little tax or business knowledge, would be unfamiliar with a large majority of these terms. If I were the authors, I would more clearly define the terms that I commonly used throughout the

This report discusses the main principle of tax effect accounting and disclosures requirements as defined by AASB 112. It also provides a detailed analysis of Coca-Cola Amatil (CCA)’s annual report compliance with those disclosure requirements and relevance with shareholders and potential investors.

The 1990s and the early 2000s was a time that the world witness an explosion of fraud in the corporate world. Corporate fraud like Enron, HealthSouth, Waste Management, WorldCom, Lehman Brothers, etc. was so disturbing that lawmakers felt the need for a law to help curb down these frauds. Lawmakers came out with Sarbanes Oxley named after Senator Paul Sarbanes and Rep. Michael G. Oxley, the co-sponsors of the act. The purpose of this essay is to discuss some of the tax advantages and disadvantages of Sarbanes-Oxley and to explore whether the advantages outweigh the disadvantages for small businesses as well as the tax benefits for those businesses.

Facts: Murray Taxpayer was previously employed by a company who was illegally dumping chemicals into a river. Murray had knowledge concerning these illegal activities of his employer and made an ethical decision to report this to the Environmental Protection Agency. Upon inspection, the Environmental Protection Agency determined that Murrays employer was in fact illegally dumping and was appropriately fined for the charges. Murray’s employer reacted to his whistleblowing by firing him and making deliberate efforts to prevent Murray from gaining employment elsewhere. Murray then sued his former employer for damaging

1. All distributions (excluding reasonable salary) to Paula and Mary will be taxed as dividends to them. And the corporation could not deduct this part of distribution.

Since its legislative inception in 1999 by the Liberal/National Howard government, the GST has formed a central role in Australia’s taxation regime. In 2014-15, revenue from the GST

There is constant talk in Washington D.C. from legislators, members of both the Republican and Democratic parties, about changing current tax codes. Typically, Republicans argue for lowering taxes both on the personal income for all economic classes as well as corporate levels. On the other hand, Democrats traditionally push for increasing the tax burden, especially for the upper class and corporations.

Located in Washington DC, the Internal Revenue Service (IRS), is the enforcer of laws, especially tax related. The roots of the IRS go back to Civil War times when president Lincoln passed the Revenue Act of 1862. The IRS is a government division of and also controlled by the Department of the Treasury. Besides enforcing tax laws, the IRS is also accountable for the collection of taxes. These types of taxes include gift, corporate, excise, and estate. They are also an important factor in the attainment of money for the government. For the fiscal year, which is a period used for accounting purposes, of 2014, the combined returns of personal and corporate income tax of 149.7 million brought the government almost $2 trillion of

This research project will analyze the recent changes in the disclosure requirements for income taxes. On July 26, 2016 the Financial Accounting Standards Board (FASB) published for comment a proposed Accounting Standards Update (ASU) on Income Taxes (Topic 740): Disclosure Framework—Changes to the Disclosure Requirements for Income Taxes. The FASB had received 52 comment letters by the due date of September 30, 2016. The Board issued the amendments in the proposed Update on Topic 740 as part of the disclosure framework project. The new ASU would change, add, and cancel previous income tax accounting disclosure standards. The new amendments would include requirements for all entities (public and private) to disclose certain

The most important thing to any company’s stakeholders is high-quality reporting of its financial statements. Investors, for instance, need to know the truth about a company in order to make an informed decision on whether to make private investment, buy stock or bonds. However, for stakeholders to get the truth about a company, they need to read and understand management’s discussion and analysis, the president’s letter, the notes, as well as the financial statements. Conversely, financial statements must be accompanied with disclosures to prevent them from misleading the stakeholders.

During the PRE-IFRS accounting system and where worldwide accounting diversity was widespread, a number of PRE-IFRS developmental factors were found to be the cause behind international differences in ownership and financing of companies and led to differences in the financial reporting practices of multi-national corporations (MNCs). This type of environment created extensive opportunities for corruption and poor performance and made it hard to compare global companies. The following four main PRE-IFRS development factors have the biggest impact on international business accounting practices: source of finance, legal system, taxation system and political and economic ties (Meek & Saudagaran, 1990). Even though the International Financial

Excello Telecommunications was presented with a dilemma on how the company should report earnings so that they would appear to have met earning estimates for the 2010 financial year. The CFO, Terry Reed, was concerned with how failure to meet earning estimates would affect bonuses, stock options, and the share price of Excello stock. On December 201, 2010, the company sold $1.2 million of equipment to Data Equipment Systems. However, Data Equipment Systems requested that Excello hold on to the product until January 11, 2011, because they do not have the

The United States of America is a country well know as “the land of opportunity.” In many aspects this is very true, almost anything can be sought out and accomplished. Of course, the phrase “nothing is ever truly free” goes hand in hand with that. Taxes are the evidence that back up that statement, no matter what you do or buy or sell here the government will always be getting its piece to. We all get taxed for making purchases, for owning a home, for having a business, and even for working to make money. As you can imagine no one ever wants to pay taxes but the taxes collected are used to continue many different programs in our country. Many people don’t

In this composition, we will be discussing two topics that go hand in hand when it is dealt with in tax accounting. To fully understand the scope of this article, passive activity is defined by the IRS as “any rental activity or any business in which the taxpayer gains income but does not materially participate in the activity”(IRS). Examples of passive activities can include equipment leasing and real estate leasing, in contrast to salaries, wages which are generally considered non-passive activities. As the article “Skip the dorm, buy your kid a condo” states, there are tax benefits when renting a property, but now individuals have exploited loopholes in the tax code that can be controversial and even illegal.

As a new employee in the financial reporting unit the task is to evaluate the relevant disclosures of the company’s latest annual report in accordance to the Income Tax requirements as per AASB 112.