- The 7 main elements of the tax
- 1- Active subject
- 2- Taxable person
- 3- Taxable event
- 4- Tax base
- 5- Type of tax
- 6- Tax quota
- 7- Tax debt
- References
The elements of the tax are the active subject, the taxable person, the taxable event, the tax base, the tax rate, the tax rate and the tax debt.
Taxes are a tribute or obligation imposed by the State's tax authority, in order to finance public expenses and to be able to meet the basic needs and quality of life of the residents of a locality, department or nation.
Without the payment of taxes, the State could not function, since a large part of its income comes from the collection made by the tax system.
The elements of the tax have been established in the theoretical bases and with the Public Finance policies of each country, in order to guarantee the principles and obligations in the collection of taxes.
The 7 main elements of the tax
1- Active subject
The active subject represents the administrative entity that directly benefits from the collection of taxes.
The active subjects may vary depending on the regulations of each country. Administrators can be national, local, state or municipal, and they will decide who will be the final recipients of said taxes.
2- Taxable person
It is about the person, whether natural or legal, who is obliged by law to pay tax benefits.
Within the taxpayer, two distinctions are made. The first denominates the taxpayer; that is, to all the individuals to whom the law imposes the tax payment.
The second meaning, called the legal responsible or substitute for the taxpayer, refers to the person entrusted to ensure the material fulfillment of the commitment.
3- Taxable event
It refers to the fact or act that once it is executed results in a tax obligation according to the rules established by law.
This category includes events as variable as the sale of goods, provision of services, collection of income, inheritance or inheritance rights, ownership of rights, among many others.
All these facts can vary or even become exempt, depending on the income tax law of each country.
4- Tax base
It refers to the quantification or amount of the taxable event through which it will be determined what will be the tax obligation that the natural or legal subject will pay.
5- Type of tax
It refers to a type of proportion, whether fixed or variable, which is always applied to the tax base in order to determine what the final calculation of the tax will be.
These percentages are generally established according to the needs of each country and may vary depending on the sector.
6- Tax quota
It is the amount in numbers that represents the lien. This tax rate can be a fixed amount or it can be extracted by multiplying the tax base by the tax rate.
7- Tax debt
It is the final debt that must be paid to the active subject according to the regulations previously established in each country.
It will be obtained after minimizing the fee with deductions, if any, or with increases for recharges.
References
- González, E; Pérez, A. (2003). Introduction to Economics. Retrieved on December 3, 2017 from: bligoo.com
- Camagni, R. (2011). Urban economy. Retrieved on December 3, 2017 from: academia.edu
- Almendral, V; Pérez, J. (2004). Assigned taxes and fiscal correspondence. Retrieved on December 3, 2017 from: csj.gob.sv
- Rodríguez, J; Pérez, P. (2014). The income tax. Theoretical and practical considerations. Retrieved on December 3, 2017 from: books.google.es
- Tax. Retrieved on December 3, 2017 from: es.wikipedia.org