Businesses have been at odds with the tax policies of the governments for a long time. Nobody wants to pay the extra money and make as many profits as possible. However, taxes play an important role in the development of the economy. Many people try to evade taxes by unlawful means.
Both individuals and corporate entities would want to deflect the possibility of taxes. They may hide their assets and misrepresent their net worth to be saved from the fine. A delay in paying taxes is also a method to hurt the process of taxes.
How to Fix Taxes?
The problem of tax collection is like a cat and mouse chase. In the olden times, kings would impose unlawful taxes on their people to fill the personal royal treasure. Today the situation is very different from that. With the help of legal evaluation and open audit reports, governments can reassure people that their money is being used for welfare and development.
Many governments put together national awareness programs on school levels. Where the children can learn how important it is to pay their taxes on time, the practice of transparency and education can play a huge role in creating a big tax turnover for the next decades.
How to count your Taxes?
If you have a business and you are not aware of all the tax-related laws in the UAE. You do not need to be worried, hire VAT consultant in Abu Dhabi or talk to any chartered accountant firms in Dubai. Taxes are not always as straight forward as sales taxes. There are other types of complicated tax systems like VAT (Value added tax), which you need to get sorted with the help of an experienced professional.
The advantage of hiring a consultancy is that you will not need to worry about the legal complications of the financial laws. Tax evasion is a federal crime, and it can result in the closing up of your business altogether. It is better to calculate your taxes and pay them on time, rather than risking the loss of years of your hard work.
Taxes may seem like an unnecessary imposition of the government, but it is vital for the development of the economy. The infrastructure and better prospects that your government will put together with the help of tax money will add value to your business. Tax is usually a small percentage of the profit, pay your taxes on time to get the full benefits of it in the future.