Tuesday, May 21, 2019

The Different Cocoa Beach Taxes

By Jason Wagner


Taxation is an unavoidable reality. Every human being has to face taxation. So long as one is alive, he will always be paying tax. It is only the dead who cannot pay tax. That is the reality. It is the truth. Taxation is not only found in the United States of America. It is also found in other countries all over the world including Canada, Mexico, the United Kingdom, the Peoples Republic of China, and South Africa, among others. It is only a handful of countries where there is no taxation. In Cocoa Beach, Florida, there are varied Cocoa Beach Taxes.

The various taxes finance government activities. Without taxation, the running of the government will come to a grinding halt and chaos will be the order of the day. Democracy is the best system of governance on earth. However, it is not cheap. Running a democratic government requires a lot of money. Elected officials and civil servants must be paid salaries every month.

There is income tax in United States of America. That is also the case in other countries such as the United Kingdom, Germany, France, and Canada. Almost all developed countries on earth have an income tax regiment. That means that people who earn an income above a certain level have to pay taxation dependent on the level of their income.

There is also corporation tax. This is paid on profits made by a business. The main goal of doing any business is to make a profit at the end of the financial year. That is the reason why businesses usually prepare a profit and loss account. The profit figure that is indicated at the end of this statement is subject to taxation.

There is also withholding tax. This targets dividends paid to shareholders. A company does not have to pay dividends. The discretion to pay dividends is on the hands of the board of directors. The board can decide to plough back profits to finance urgent company projects. If a decision is reached to pay dividends, there will be the need to conform to taxation rules.

Value Added Tax (VAT) is a very basic tax. It will affect an American even if he does not earn an income. For every product that is consumed, one has paid VAT. People hardly notice this tax. That is due to the fact that it is not paid directly out of the pocket. It is an indirect tax included in the price.

There is the need to be a smart taxpayer. Often times, taxpayers with the best information usually end up paying less taxation. One needs to be informed about the legal loopholes that he can take advantage of so that to be able to reduce the taxation burden. Taxation avoidance is totally legal. However, taxation evasion is a serious economic crime in America.

The taxation process involves a number of steps. First and foremost, the returns have to be prepared. They need to be prepared with a high level of attention to detail. Nowadays, there is software that can be used to make the whole affair to be seamless and easy. Fully prepared returns should be sent to the IRS before the deadline and taxation subsequently paid.




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