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Homework answers / question archive / Need 1 page of work plus 3 slides (slides with 50 word speaker notes on each and should contain answers to questions such as why I choose this assignment, and my approach to assignment)   do this about Firestone 1 PAGE Communications strategy plans  Traditional Media   Internet

Need 1 page of work plus 3 slides (slides with 50 word speaker notes on each and should contain answers to questions such as why I choose this assignment, and my approach to assignment)   do this about Firestone 1 PAGE Communications strategy plans  Traditional Media   Internet

Taxation

Need 1 page of work plus 3 slides (slides with 50 word speaker notes on each and should contain answers to questions such as why I choose this assignment, and my approach to assignment)

 

do this about Firestone 1 PAGE

Communications strategy plans

  •  Traditional Media 
  •  Internet
  • . Direct marketing

Value Added Tax

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Activity B

  1. Imagine that you recently traveled to another country and noticed that the prices on products were the same prices you paid at checkout. That is, no sales tax was added to the purchase price at the checkout, as it is in the United States. Research and present at least five pros and five cons of value added taxes. Conclude your video describing who benefits from the implementation of value added taxes. Your group's video should be 4 to 6 minutes in length with professional sound and video quality.

 

Value Added Tax

  1. VAT is the tax that is imposed on the consumer but applies all the way through the supply chain.
  2. It is translated to the retail price.
  3. VAT has two main characteristics:
    1. It is  a general tax that is imposed on all commercial activities inclusive of production, supply, distribution and service provision.
    2. The final consumer or buyer is the ultimate bearer of the tax as it goes down to retail prices (Vegh & Vuletin, 2015).

 

Advantages of VAT

  1. It is efficient in that it brings a higher revenue to the country – It is the taxation system that levies every single business transaction hence leads to a higher amount of revenues. It is the best way to solve the US deficit.
  2. Does not exclude any business activity – little by little, every business activity either physical of online is levied. All transactions eventually face the tax.
  3. Simple to administer – Involves simple percentage calculations the are indirectly placed in final product prices.
  4. Leads to a balanced taxation system – Every other commodity, service and transaction is levied equally at the same percentage throughout hence balance (Schenk et al., 2015).
  5. Evasion cases are minimized since the taxation system is mainly indirect.

Drawbacks of VAT

  1. It is regressive – The levies of the taxation end up being imposed mainly on the poor final consumers of the simplest products and may be negligible on the richer heavy consumers
  2. It is additional tax – As a result of the occurrence and present of the other forms of tax like income and sales tax, the VAT is considered an additional tax that simply burdens the normal citizen.
  3. Could lead to lack of uniformity – Some state may choose to either eliminate or limit the other taxes while other maintain them . That could lead to lack of uniformity in taxation in the country and differentiation of business condition from federal provisions in various states.
  4. Trickle down effect – VAT runs down from the producer gradually through the suppliers and distributers to the final consumer. Since some organization that are broad may have to calculate large amount in VAT, they will end up translating the effect directly to consumers (Pomeranz, 2015).
  5. In the cases of evasion, it could be expensive to pursue the defaulters.

 

References

  1. Vegh, C. A., & Vuletin, G. (2015). How is tax policy conducted over the business cycle?. American Economic Journal: Economic Policy7(3), 327-370.
  2. Schenk, A., Thuronyi, V., & Cui, W. (2015). Value Added Tax. Cambridge University Press.
  3. Pomeranz, D. (2015). No taxation without information: Deterrence and self-enforcement in the value added tax. The American Economic Review105(8), 2539-2569.

 

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