Learningexperience and application of knowledge
Possiblereforms to the tax research and planning
Followingthe economic and wages stagnation as a result of the current taxationand planning, there is need for some reforms in the entire taxingsystem. This would ensure that our tax system is positively alignedwith our major trading partners. This points out at the need tointroduce a neutral tax system which would ensure that taxation isonly done once per every income, a case that is not applicablecurrently. The reforms I would facilitate would be to: make the taxrate competitive and integrate the corporate and the individual taxsystems (Morse,2013). These reforms would increase our corporate competitiveness in theglobal market as well as reduce international competitivedisadvantages. Additionally, moving to a territorial tax system wouldensure that our corporations are not hiding money in their countriesof operation. This would be in the fear of double taxation as is thecase currently.
Mostsignificant changes you expect to see in the tax code over the nextfive (5) years.
Oneof the most significant changes I would expect to see in the tax codeis the reduction of the current almost 50% of tax on all smallbusinesses which make up to 95% of all businesses in the UnitedStates of America. This is considering that the employees working inthese organizations also pay separate taxes through savings and othervarious avenues like return investments. Comparatively, thecorporations make more money and constitute to only around 10% of thetotal GDP, but their taxation is much lower compared to the smallorganizations (Clausing,2012).This in a major way contributes to the stagnation of the wage billand periodical downsizing when the impacts of the huge taxes clashwith the poor markets. Clausing continues to argue that tax codeshould review the reduction of taxes on acquisition of assets such ashomes and cars as well as other basic commodities. This would ensurethat people are spending more on these basics and returning the moneyearned, though leaving them more comfortable than before.
Morse,S. C. (2013). Startup Ltd.: Tax Planning and Initial IncorporationLocation. Fla.Tax Rev.,14,319.
Clausing,K. A. (2012). Future of the Corporate Tax, The. TaxL. Rev.,66,419.