What statement is false? a. A tax on consumption will effectively result in virtually all residents of the State paying the tax. b. A tax on consumption would support savings initiative. c. The consumption tax for purchases of goods or services from foreign sources shall be payable by the buyer. d. Business taxes are usually included in the price of goods and services of the seller but are remitted by the seller to the government. e. All of the statements is correct.

What statement is false? a. A tax on consumption will effectively result in virtually all residents of the State paying the tax. b. A tax on consumption would support savings initiative. c. The consumption tax for purchases of goods or services from foreign sources shall be payable by the buyer. d. Business taxes are usually included in the price of goods and services of the seller but are remitted by the seller to the government. e. All of the statements is correct.

SWFT Essntl Tax Individ/Bus Entities 2020

23rd Edition

ISBN:9780357391266

Author:Nellen

Publisher:Nellen

Chapter16: Multijurisdictional Taxation

Section: Chapter Questions

Problem 32P

See similar textbooks

Similar questions

Which of the following is false regarding consumption and business tax? a. Importations of goods are subject to value-added tax whether the imported goods are to be used in business or not. b. All business taxes are consumption taxes but not all consumption taxes are business taxes. c. Business taxpayers with annual receipts higher than the VAT threshold who registered as VAT taxpayers may switch to a non-VAT registration provided such actual receipts during the year proved to be lower than the threshold. d. A business taxpayer subject to other percentage taxes shall register as a VAT taxpayer if its total sales or receipts exceeds the VAT threshold. e. All of the other choices is correct.
Which is an incorrect statement regarding taxes? * a. Taxes are necessary for the continued existence of the government. b. The obligation to pay tax does not rest upon the privilege enjoyed by or the protection afforded to the citizen of the government but upon the necessity of money for the support of the state. c. There should be personal benefit enjoyed from the government before one is required to pay tax. d. Taxes should be collected without unnecessary delay but its collection should not be tainted with arbitrariness. e. Answer not given
. Why might revenues generated from the tax fall short of expectations? 2. Do you think that Philadelphia should or shouldn't have adopted the tax to fund pre-K education? Support your brief argument with economic concepts covered in the course. 3. Suppose a government wants to use tax policy to persuade people to not consume certain products or services. Suppose, the government has limited resources and can only enforce (or collect) a limited number of taxes. Should that government target goods or services that have an elastic or inelastic price elasticity of demand (ED)? Why? 4. Suppose the goal of a government is to raise as much money as possible to fund governmental services. Should the government target goods and services that have an inelastic or elastic ED? Why?
Why is the personal income tax considered less stable than a consumption tax and how do U.S. corporate income taxes favor debt financing over equity financing for business expansion? In addition to this, what are the common criticisms of California’s Proposition 13?
What are the issues related to state sales and income taxation relative to e-commerce? Include a brief discussion of the points listed below* Please show your work below. . * Collection of sales and use tax responsibility. * Identification of businesses that derive income from state. * Nexus of an e-business with a state * Difficulty and cost of e-businesses complying with requirements of multiple states and countries. * Unfairness to brick-and-mortar retailers if sales/use tax is not collected on Internet purchases. * Desirability of encouraging growth of e-commerce.
Some customers of Internet businesses can avoid paying statesales taxes on purchases if the Internet businesses don’t havea physical presence in their state. However, more states areenacting laws to collect taxes. What impact might this have onthe clicks, bricks, or both choices?
Tax planning is the act of arranging one’s tax affairs in ways that postpone or avoid taxes. By employing effective tax planning variables, one can have more positive cash flows to save and invest or more money to spend.Required:Explain what constitutes the variables of tax planning. The Government of Ghana has been worried by the rising incidence of Transfer Pricing abuses by Multinational and Group Companies. For this reason, it introduced new transfer pricing rules and guidelines through the Transfer Pricing Regulations, 2012 (LI 2188).Required:a. Explain any four (4) objectives of the transfer pricing regulations of Ghanab. Explain the arm’s length principle
When a government lowers taxes it is employing ________. A) fiscal policy B) monetary policy C) domestic policy D) the law of one price