The World Bank Group, has released the latest version of its 2018 tax payment report.
The report notes that corporate and government use of technology helps mitigate and reduce the burden of corporate tax compliance, as well as a 5-hour reduction in compliance time to 240 hours; In the post-submission index, 81 countries are audited by taxpayers on a voluntary income tax basis, which leads to a revision of the declarations due to minor errors. In 51 countries that apply the VAT system, there is no possibility of refunding the value tax Added to the companies surveyed, indicating a significant area of improvement in post-submission processes in many countries.
TCTR’s total rate of taxes and contributions increased 0.1% to 40.5%, resulting in the largest increase in corporate income taxes and sales taxes.
On the other hand, the Middle East still has the lowest rate of total taxes and contributions, and the minimum time required to comply, reflecting the limited taxes on companies covered and the government’s reliance on other sources of revenue. The report also notes that the total tax rate is 24% in the Middle East, and the company takes an average of 154 hours to comply with tax matters, 3 hours less than last year and a 17.2 payment rate.
The Tax Payout for 2018 deals with the ease of paying taxes in 190 countries. And sets a model for corporate taxes in each country, to include a medium-sized local company as a model for the study.
The GCC countries are working on a number of ambitious projects with accelerated timetables. The VAT system appears to be one of these projects, with two of them, Bahrain and the United Arab Emirates, having a limited tax history, along with legislation or administrative infrastructure. Under selective taxation, too, this represents a major shift in any way.
“The introduction of new taxes in any society involves a period of adjustment for taxpayers in particular, and for everyone in general; there must be a transition period after the start of the application,” said Janine Dou, partner in charge of indirect taxation and fiscal policies in the Middle East. Tax In January 2018, the appointment of fully-informed teams, effective operations and technology will play an important role in them. “