Taxation Essay Example | Topics and Well Written Essays - 2000 words - 2

Taxation - Essay Example Taxes are generally enforced on the profits or income of the companies and individuals. There are many types of taxes, the common ones being the income tax (levied on income) and the sales tax (levied on sales). Another type of tax is the Capital Gains Tax which would be discussed throughout the paper. According to Burman (1999), a Capital Gains tax is the one that is levied on the Capital Gains of a company or any individual.1 Capital Gains refer to the profit that is earned due to the sale of a non-inventory asset which was bought at a fairly low price. These Gains may be earned due to the sale of assets like the stocks, the bonds and property etc. For example, if a person Mr. Edward Cullen buys some shares worth  £2,500 n sells them for  £12,500 then he makes capital gains worth  £10,000. (12,500-2,500) Campbell (1977) argues that Capital Gains have a lot of strategic importance2. This is because according to him, the business income alone does not prove to be sufficient for the motivation of investors. His study (1977) also shows that the investment in the US and other countries like France, Britain, and Germany has improved over the years due to the increase in the enthusiasm towards the Capital Gains3. However, the introduction of the Capital Gains tax is something that discourages companies and individuals. This is because the incidence of the tax means that the companies no longer enjoy the relatively newer and higher profits that they previously had. As a consequence, they may get discouraged by the tax and may try to sell the asset for a price that is lower than the price that is chargeable. Ultimately the Capital Gains earned by the companies and individuals may decrease and so will the eagerness towards investment through the sale of the non inventory assets. But all of th is depends on the respective criterion of the government policies for the charging of the person and the

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Obama Care Essay Example | Topics and Well Written Essays - 750 words

Obama Care - Essay Example The Act requires that a significant percentage of the income group should have health insurance. The act is helpful to low-income adults because of the expansion of Medicaid. The act also introduces programs that aid early retirees’ insurance programs. The PPACA is also supportive to workers at their old age, who would benefit from the coverage, according to Begley et al. (2012). Employers can have insurance cover for the group of employees that go for early retirement, between the age of 55 and 64. This is helpful to these employees since they have the assurance of insurance even if they take early insurance. The Act also expands insurance to non-employed youths aged between 19 to 25 years through their parents’ coverage. According to Begley et al. (2012), the various reforms are beneficial to employees. According to Hoffman (2011), the act reduces the burden of cost of insurance on just a limited potion of employees. The act is instrumental because of its level of reg ulation of insurance rates. The various discounts on wellness programs introduced, by the act, are important and helpful to employees. The act has several financial security provisions that could be helpful in reducing the expense of medical care as well as premium cost (Hoffman, 2011). For instance, the provision that health plans should limit the cost-sharing obligation renders it cheap to afford health care. Miller (2012) provides a contradicting opinion that the PPACA to is economically burdening to the employees. The act, according to Miller (2012), has its basis on improper analysis of its economic implications on workers. The act does not follow any explainable principle and, instead, diminishes some roles of the federal government related to regulation of insurance. In the opinion of Miller (2012), the expansion of tax allocated to insurance would be a better policy provision compared to imposing the cost on workers. Tax expansion was a more suitable source to finance the in surance coverage stipulated in PPACA than making the workers pay for it. The individual responsibility outline in the act is unconstitutional and unnecessary, according to Miller (2012). McDonough (2012) identifies the extent of opposition that the PPACA reviewed since its congressional debate began in 2009 to its declaration as being lawful in 2012. Those in opposition of the act highlighted the economic effects of the provisions of the law. The law would escalate the expenses of states and further create a burden on their budgets. The burden and effects of the burden roll down to workers who directly pay for it. In general, there are more beneficial to workers that come with the approval of PPACA than those having the contrary opinion present. It remains the basis of success in achieving reforms in the country's health insurance system. The act places the role of employers in ensuring efficiency in health insurance at the center and, therefore, creating remarkable changes (Eibner, Hussey & Girosi, 2010). Insurance supported by the employer increases efficiency in expanding cover of employees. Full implementation of PPACA would transform the health insurance markets in the country. It would help to change the decision of workers concerning the enrollment for health insurance cover. The act places various advantages to workers. There is a notable reduction in direct expenditure out of pocket. High out-of-pocket expenses, notably, is one of factors that contribute to the low coverage of

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Top Choices of What Is the Accepted Font for Apa Research Papers

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