financialtreat – will explain about How to Create High-Income Tax Strategies that you will get in the following article. let’s look at this article carefully!
Tax is a form of revenue in the context of participating in and also helping the country’s economic development. Taxes play a very important role in the life of a country because they are a source of state revenue. Therefore, whether a High Income Tax Strategies can help the country in the development sector remains.
In addition, taxes are used to finance development and regulate almost all economic activities in the country. People who pay taxes are referred to as taxpayers (WP). Well, on this occasion, we will invite you to discuss the strategy of High Income Tax Strategies that can play a role in life in a country by helping the economy. For that, see the following discussion.
What is tax?
As a resident who lives in a legal country, do you understand and realize what is meant by taxes? It could be that some of you only understand that when eating at a restaurant you will be taxed. Every year you have to pay vehicle and house taxes and file an annual income tax return. However, what exactly do taxes and their functions mean for you and the country?
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Types of Taxes
There are various types of taxes that apply to Indonesia only. Taxes are not only grouped by vehicle tax, restaurant tax, income tax, and house tax. However, taxes are classified based on the collecting forum, namely the central government and local government. The following is a further discussion regarding central tax and place tax, namely:
1. Central Tax
A central tax is a tax levied directly by the central government which is managed by the Directorate General of Taxes. The taxes included in the central tax are Income Tax (PPH), Value Added Tax (PPN), Stamp Duty, Land and Building Tax (PBB), and Sales Tax on Luxury Goods (PPNBM).
2. Place Tax
A place tax is a tax collected by provinces and districts/cities so the taxes included in the two groups are as follows:
- Provincial Taxes: Motorized Vehicle Tax, Motor Vehicle Transfer Fee, Motor Vehicle Fuel Tax, Cigarette Tax, and Surface Water Tax. Regency/Municipal Taxes:
- Hotel Tax, Restaurant Tax, Entertainment Tax, Advertising Tax, Parking Tax, Street Lighting Tax, Ground Water Tax, and many other taxes that are includ in the district/city tax.
Tax Characteristics
After reading the previous description, you must already know a little about what a mandatory tax is. To make sure you understand, please read through the following explanations of what this type of required tax is and how it works.
1. Taxes Payable
Paying mandatory taxes (taxes) is a form of obedience for every citizen in order to help national development and help finance the state. According to the philosophy of tax law, this mandatory tax is also a right for citizens to participate in financing needs for national development. In short, if we want to contribute to the country’s development efforts, we also need to take part by paying mandatory taxes.
2. Forcing
Basically, sales taxes are a type of state tax that is coercive. The meaning of “force” this time only applies to parties who have been declare as taxpayers. Then who are the parties who have to pay the mandatory tax? That is, they are citizens who have met the requirements of the taxpayer, both objective and subjective.
One of these requirements is that a citizen who already has an income exceeding the PTKP (non-taxable income). For example, if the nominal value of the PTKP is IDR 4.5 million per month, then people who earn more than IDR 4.5 million in a month will become citizens who have to pay taxes. If they don’t pay their taxes because they don’t want to, they could get in trouble with the law or be fine by the government.
3.0 You Have a Legal and Binding Legal Basis
We cannot deny that taxes are a source of national income that can help sustain a country. In a way, taxes help keep the state’s welfare up by making sure that sustainable development keeps going.
In addition, the state government also establishes a strong legal basis to regulate all tax procedures, from calculation and payment processing to reporting. This state law has a legal and binding legal character, so the citizens concerne need to carry out their tax rights and obligations as well as possible.
4. Residents Don’t Get Direct Rewards
It is a common mystery that the income of residents and places throughout Indonesia is not evenly distribute. Compulsory taxation is one way to equalize the income of citizens in the community through providing public services and facilities.
Basically, the mandatory dues from the community will return to the residents themselves even though they are not giving directly. You will feel the mandatory dues that you have paid again after some time in the form of facilities and several services from the state. Just as you enjoy current state facilities, such as roads and other public facilities that were build with mandatory citizen contributions that have been pay.
Earning a Lot of Money
As we already know, a tax plan, or what is commonly referre to as tax planning, is an effort to reduce or make a minimum tax burden to be pay to the state so that later the taxes that must be pay to the state do not excee the amount already state.
But before we carry out tax planning activities, we should know what strategies can be use to get a high income. At least there are several strategies that we need to know, namely:
1. Tax Saving
Tax saving is an effort to streamline the tax burden through the selection of alternatives to taxation at a fairly lower rate. For example, when a company provides additional in-kind to employees, basically, in-kind support is not allowe to be charge as a cost in calculating corporate income tax, but the in-kind support policy can be change to support that is not in kind so that later it can be include as employee income and can be deducte. as a form of cost.
In this case, changing the policy will be able to trigger a decrease in corporate income tax but not with Pph 21, which will actually increase because the decrease in corporate income tax will be greater than the increase in PPH 21, which is carrie out with the assumption that the company earns a tax advantage of Rp. The 100 JT and corporate income tax impose are not final.
2. Tax Avoidance
Tax avoidance is a way to try to reduce the cost or burden of taxes by not paying taxes or by putting taxes on things that are not tax objects.
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For example, with the example of a company whose income tax is not impose in a final manner in order to make PPH 21 more efficient for its employees. This can do by adding as much as possible to the welfare of each employee by providing additional in kind.
Thus, the review of this article, which discusses the strategy of High Income Tax Strategies with an explanation of the above taxes, can help the economy of a country with these taxes.
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