The Framework of Uk Taxation
ASB-3212 Taxation: 2012/13 Lecture 1 - The framework of UK taxation
Lecturer: Sara Closs-Stacey FCCA CTA
Email contact: abs614@bangor.ac.uk
Essential text “Taxation –policy and practice 2012/13” Lymer and Oats. ACCA Paper F6 Taxation complete text FA2012
Course text can be obtained from: www.taxstudent.com ; amazon university bookshop and Kaplan publishing website.
Outline of lecture
Discuss historical background of taxation
Main features of UK tax today
Collection systems, legal framework and administration
Key issues in taxation
Fiscal neutrality
Hypothecated taxes
Burden of taxation and its distribution
Money raised v Money spent in UK
What is a tax? What does it mean to you?
Compulsory levy, imposed by government, or other tax raising body, on either income, expenditure or capital assets, from which the tax payer receives nothing directly in return.
The Tax System = collection of taxes in an economy
Background- Role of Taxation
The price of living in a civilised society: ‘Compulsory contribution, imposed by government that, whilst individual taxpayers may receive nothing identifiable in return for their contribution, they nevertheless have the benefit of living in a relatively educated, healthy and safe society’
Generation of income for governments
Reflection of changing social values and priorities
No two tax systems are alike and constantly changing !
Background-Theory of Taxation
Objectives for taxes - arise from government responsibilities in market economy :
1. To provide public goods common consumption, zero marginal cost, unlikely to be provided by market e.g. defence and law & order
2. Redistribution of income and wealth social equality etc.
Background-Theory of Taxation
3. Promote social and economic welfare
e.g. provide merit goods like education that market would provide but not for all discourage demerit goods like alcohol & pollution considered bad for society
4. Economic Stability
Balance
Lecturer: Sara Closs-Stacey FCCA CTA
Email contact: abs614@bangor.ac.uk
Essential text “Taxation –policy and practice 2012/13” Lymer and Oats. ACCA Paper F6 Taxation complete text FA2012
Course text can be obtained from: www.taxstudent.com ; amazon university bookshop and Kaplan publishing website.
Outline of lecture
Discuss historical background of taxation
Main features of UK tax today
Collection systems, legal framework and administration
Key issues in taxation
Fiscal neutrality
Hypothecated taxes
Burden of taxation and its distribution
Money raised v Money spent in UK
What is a tax? What does it mean to you?
Compulsory levy, imposed by government, or other tax raising body, on either income, expenditure or capital assets, from which the tax payer receives nothing directly in return.
The Tax System = collection of taxes in an economy
Background- Role of Taxation
The price of living in a civilised society: ‘Compulsory contribution, imposed by government that, whilst individual taxpayers may receive nothing identifiable in return for their contribution, they nevertheless have the benefit of living in a relatively educated, healthy and safe society’
Generation of income for governments
Reflection of changing social values and priorities
No two tax systems are alike and constantly changing !
Background-Theory of Taxation
Objectives for taxes - arise from government responsibilities in market economy :
1. To provide public goods common consumption, zero marginal cost, unlikely to be provided by market e.g. defence and law & order
2. Redistribution of income and wealth social equality etc.
Background-Theory of Taxation
3. Promote social and economic welfare
e.g. provide merit goods like education that market would provide but not for all discourage demerit goods like alcohol & pollution considered bad for society
4. Economic Stability
Balance