English for Tax Administration 2 Lecturer: Miljen Matijašević G10, room 6/I, Tue 11:30-12:30 e-mail: miljen.matijasevic@gmail.com Session 4

Revision of the last session What are Taxes?

Types of taxes Name the four criteria for dividing different types of taxes. Provide a short explanation for the types of taxes within each of the four categories.

Practice Translation task (homework), p. 8. Translate the first paragraph of the text ‘Types of Taxes’

Practice Poreze možemo klasificirati na više načina. Najčešće su podjele prema sljedećim kriterijima: prema poreznoj osnovici (porez na dohodak ili porez na potrošnju) prema tome tko snosi krajnji teret poreza (izravni i neizravni porezi) prema razini vlasti kojoj pripadaju prihodi od poreza (lokalni porezi, državni porezi, itd.) prema dijelu stanovništva koju najviše zahvaćaju (progresivni i regresivni porezi).

Purposes of Taxation Unit 3

Purposes of taxation MAIN PURPOSE: revenue for government expenditure other purposes: resource allocation income redistribution economic stability special purposes

Purposes of taxation RESOURCE ALLOCATION INCOME REDISTRIBUTION providing funds to various users e.g. education, health system, infrastructure, etc. INCOME REDISTRIBUTION reducing the gap between lowest and highest-earning sections of the population balancing of economic power

Purposes of taxation ECONOMIC STABILITY SPECIAL PURPOSES controlloing employment monetary policy debt management maintaining price stability SPECIAL PURPOSES reducing pollution limiting consumption of certain products (alcohol, tobacco, etc.)

Purposes of taxation Read the paragraph about the history of taxation starting with the words „Wars have influenced taxes…” What do you think the withholding method refers to?

The General Tax Law Unit 4

The General Tax Law entered into force on 1 January 2017

The General Tax Law Read the introduction and find out the basic information about the General Tax Law, paragraph 1 Which subjects are involved in taxation?

Taxation Subjects THE STATE TAXPAYERS the legislative the executive imposes tax the executive Ministry of Finance – Tax Administration (the tax authority) TAXPAYERS LEGAL AND NATURAL PERSONS What do you learn about their relationship?

Taxation Subjects THE TAX AUTHORITY TAXPAYERS are entitled to assesses and collects/levies tax collects interest and fines TAXPAYERS are entitled to a refund of tax paid without legal grounds interest on such tax

Thank you for your attention!