Taxation Mathematics & Economics Essay Research Paper (Essay Sample)

Taxation on big and small businesses
Large Companies pay the tax identified as corporate tax. This is a levy established by a authority on the income or capital of corporations or similar group of legal entities. Most of this tax is at the national level. The tariff may apply to corporations deemed to be resident for tax purposes in the country, foreign companies who have a permanent establishment in a country, also those that are doing business in the country on income from that country and lastly those incorporated in the country. Companies earnings that is prone to tax is sometimes depended on taxable income for individual taxpayers. In general tax is imposed on net profits. (Knowledge of Tax, 2014)
On the other hand, small businesses have also to pay tax to support the economy. Their tax is usually calculated in the terms of their profit or loss for income taxes. The data collected here include the information on their personal tax returns. The small businesses have to file their business tax returns with their personal returns. This should contain information on the due dates and when they are to file all of their taxes and put them up-to-date with the records. Most of these taxes happen to be of the sole proprietorships and also partnership businesses are part of the small businesses. (Knowledge of Tax, 2014)
Taxes big businesses have to pay