Practice in tax department in almaty

- hears reports of heads of structural divisions of Tax committee and heads of territorial tax authorities;

- gives methodical and practical help to territorial tax authorities;

- studies and introduces experience of tax authorities;

- holds events for professional development of shots;

- carries out communication with tax authorities of the foreign states and the international tax organizations according to available agreements, studies experience of the organization of activity of tax services of foreign countries and develops offers on its practical application;

- within the kompetenition realizes interstate and intergovernmental agreements concerning the taxation;

- develops and approves in accordance with the established procedure methodical and instructive materials, prepares explanations on application of the tax legislation;

- takes measures for creation of information systems and other automation equipment and a computerization of tax authorities.

Bodies налогово services interact with the central and local bodies of the ispolnitelny power, law enforcement agencies, financial and other supervisory authorities, take measures for an osushchesivleniye of sosvmestny control, provide exchange of information taking into account provisions of the Decree about taxes regarding preservation in secret data on taxpayers. Received by nagovy service at execution of the official duties.

 

 

 

 

 

 

Chapter 2 Proposals for improvement of tax legislation in the field of control

 
2.1 Analysis of the effectiveness of the tax system Almaty

 
       In January- November 2013 the city received profit organizations in the amount of 4,573,215 thousand Tenge. 
      Net financial result was as follows: 38 companies (78 % of the organizations surveyed statistics) a profit of 856 053 thousand tenge and 9 organizations (18 %) had a loss of $ -398 732 thousand tenge. For the same period last year 35 organizations (60.34 % of the surveyed statistical bodies) a profit of 2,638,905 thousand tenge  and 21 organizations ( 36.21 %) had a loss of $ 166,330 thousand tenge. 
     Of loss-making enterprises: JSC «X» (-29,9 million tenge . ) , Etc. 
Payables organizations was at the beginning of December 2012 5,411,400 thousand tenge . , From her overdue 417 076 thousand tenge . 
Compared with the same period last year payables decreased by 805,890 thousand tenge . (13.0 %) , the outstanding decreased by 753,743 thousand tenge . (64.4%) 
The main component of accounts payable - is owed to suppliers - 2516866 thousand tenge . 
     Loans and loans organizations on December 1, 2014 was 5,572,506 thousand tenge . gaining 1218790 thousand tenge . compared with the same period last year. 
Eliminated income payable 20263 thousand tenge . ( for the same period last year - 11639 thousand tenge . ) 
     Receivables organizations totaled 5436013 thousand tenge . , Including overdue - 1375088 thousand tenge . 
      Compared with the same period last year, accounts receivable decreased by 738 224 thousand tenge. Overdue increased by 634,485 thousand tenge. 
Of the total receivables due from customers for goods, works, services account 3616120 thousand tenge or 66.5 % 
     Eliminated income receivable 40927 thousand tenge. 
     Excess of accounts receivable as of December 1, 2013 by statistical agencies surveyed organizations reached 2,919,147 thousand tenge. 
     The district as a whole, the proportion of organizations that have received income is significantly higher than the proportion of loss-making companies . But on the other hand, in 2012, the volume of the resulting profit organizations exceed the results of the current year to 1,615,980 thousand tenge. One of the factors affecting the situation is assignment to loss-making enterprises of «Y» (according to statistics of its losses in 2012 amounted to -358.1 million tenge.)

    Turnover organizations by economic activity for January 
- December 2013 in the whole district is 38,291,406 thousand tenge . , Increasing 
compared with the same period in 2012 to 3,549,385 thousand tenge . 
        Payables and receivables are reduced. 
  However, based on the information of statistics on the financial status and settlement organizations in Almaty , we can conclude about the instability of the economic situation in the city, coupled with the financial results of the largest taxpayers. 
   The dynamics of the main types of taxes and payments to the budgets of all levels for 2013 compared to 2012 is shown in Table 2 number . 
For 2013 the consolidated budget of the Russian Federation received from all kinds of taxes and fees 2,202,285 thousand tenge . , Which is 487 842 thousand tenge . more than the increase in revenue in 2012 amounted to 28.5% . 
In addition, received the Unified Social Tax 316 575 thousand tenge . and insurance contributions for compulsory pension insurance - 573 537 thousand tenge . In arrears from previous years on insurance premiums received in 2707 thousand tenge . In comparison with 2012 , revenues decreased by UST 115 061 thousand tenge . ( payments for 2012 amounted to 471 636 thousand tenge . ) . On insurance payments on obligatory pension insurance positive dynamics . The volume of payments of premiums for 2013 increased compared to the 2012t . to 131264 thousand tenge . ( 29.7 %).

      When comparing the volume indicators by calculating and comparing the growth rate of income compared to the corresponding period last year is determined as follows: 
- The increase in revenue in the consolidated budget of the Russian Federation for 2013 compared to 2012 was 28.5% . In turn, in 2012 the payment of taxes and fees increased compared to 2011 by 31.1 %. Comparison of two tempo indicators suggests that tax revenue is growing, but their growth from year to year decrease. Of the total amount of taxes and fees: 
- The Republican budget received 761 066 thousand tenge, Or 34.5% , 
- The regional budget - 965 450 thousand tenge, Or 43.8 % , 
- In the local budget revenues - 475 769 thousand tenge or 21.6 %. 
      In comparison with 2012 notes the following changes in the volume of income in the context of budgets: 
- The Republican budget revenues increased by 35.0 % 
- The regional budget revenues increased by 48.2 % 
- The local budget revenues decreased by 4.7% 
     This analysis of income taxes and fees in the consolidated budget of the Republic of Kazakhstan is characterized by structural changes and, in addition , positive growth of tax revenues is observed only in the federal and regional budgets. Local budget revenues decreased by 4.7%. 
        When analyzing the volume of revenues necessary to consider factors which influence requires benchmarking (comparison of income growth rates for comparable group of taxes and taxpayers) .

     These factors are : 
Taxpayers transition from one territory to another, Changing standards deductions payments to the budget methodology reflect payments reporting.

     The main part of the consolidated revenues of Kazakhstan for 2013 is formed from the proceeds of income tax , VAT, income tax on individuals. 
So date: 
- VAT for 2013 amounted to 6,245,353 thousand tenge . ( 28.4% of total income ) - tax - 5,369,817 thousand tenge . ( 24.5 % ) 
- Tax on personal income - 6,523,570 thousand tenge . ( 28.3%) 
- Excise - (-) 51 thousand tenge . 
- Taxes, fees and regular payments for the use of natural 
resources - 10 585 thousand tenge. (0.5 %). 
     Five basic types of taxes mentioned above , revenues for 2013 compared to 2012 , characterized by: 
- An increase in payments on income of individuals ( share in total revenues went from 27.0 % in 2012 to 28.3 % in 2013 ) , and VAT payments ( share in total revenues went from 28 , 5% 
In 2012 to 28.7 % in 2013 ); 
 - Decrease in the share of income tax ( from 25.1 % in 2012 to 24.5 % in 
2013 ); 
- A decrease in payments for excise taxes .

     Analysis of the structure of income tax revenue in the context of budgets shows that the federal budget received 20.8% (instead of 21.82%), in oblast - 76.9% (instead of 75.94%), the local - 2.3 (instead of 2.24%). Deviation from established standards due to the calculation and payment of income tax only to the extent of the territorial budget branches, head offices are located outside the region or in other regions.

     According to the submitted declarations on VAT on goods imported pas territory from the republic of Kazakhstan, Kyrgyzstan, gross amount payable for the reporting period amounted to 8083 thousand tenge. Actually received 8424 thousand tenge, As the second nat. person unnecessarily paid 323 thousand tenge.  
    In the inspection mounted controls for opening new businesses settlement (current) and foreign currency accounts in banks. After the expiry of the charges on the requirements of the newly opened accounts exhibited collection orders.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2.2 Ways of improving the tax control 
    In order to accomplish its main task - to monitor compliance with tax law - tax inspection purposefully and permanently implement measures to strengthen tax control . 
    The most important factor in increasing the efficiency of the control of the tax inspection is to improve the existing procedures of monitoring inspections . 
Analysis of the economic literature has shown that the necessary features of an effective tax control system are: 
- An effective system for the selection of taxpayers of documentary checks, making it possible to choose the optimal direction of the limited staff and material resources of the tax inspectorate , to maximize the impact of tax audits at minimum cost and effort funds spent on their conduct , due to the selection for inspections such taxpayers , the probability of detecting tax violations that pose the greatest ; 
- The use of effective forms , techniques and methods of tax checks based on both the tax administration developed a unified comprehensive standard procedure organization control checks that based on a solid legal basis , providing 
tax authorities broad powers in the sphere of tax control for effects on unscrupulous taxpayers; 
- The use of the performance evaluation system of tax inspectors , allowing objectively consider the results of each of them, to effectively distribute the load when planning control work . 
Improvement of each of these elements will improve the organization of tax control.

     The primary task of the tax inspectorate is constant improvement of forms and methods of tax control. 
    The most promising looks continue to increase the number of audits of tax compliance, conducted jointly with the tax crime. Their efficiency is very high, so the continuation of joint activities may lead to increased revenues from such checks. 
    Also one of the effective form of tax control are rechecking companies committed tax evasion on a large scale throughout the year since such concealment. Such retesting allow to control the execution companies act of the previous audit, as well as the accuracy of the current account. 
    As practice shows of tax inspections Chelyabinsk region , significantly increases the effectiveness of monitoring the use of cross-checks , the essence of which is to check out one division staff tax inspection on the territory of another inspection.

Especially actual application of indirect methods of calculation of the taxable base which use can bring big benefit in the conditions of mass evasion of taxes, complication of forms of concealment of objects of the taxation applied by the taxpayers is represented.

    As shows the analysis of practice of examination of tax authorities in Alma-Ata, the facts of evasion of taxpayers from payment of taxes by means of ignorance of accounting, maintaining it with established order violation which do impossible determination of the extent of taxable base gained now distribution.  Special complexity of work with this category of payers is connected with lack of effective mechanisms of fight against the similar phenomena.  Without having sufficient time and the personnel resources necessary for the actual restoration of accounting, the staff of tax inspection is compelled to take as a basis for calculation of tax obligations of the taxpayer the data declared in tax calculations and following from accounting documentation, even when the analysis of other available information gives the grounds to draw a conclusion that the specified documents are distorted.

    The current legislation practically doesn't present to tax authorities of the right to make calculations of taxable base on the basis of use of any other data on taxpayers besides what contain in accounting reports and in

tax declarations. However, the right to use indirect methods of calculation of tax obligations aren't applied if the taxpayer submits to tax authority documents and data obviously distorted.

      As shows the analysis of foreign experience, application of indirect methods is standard in world practice.

     The most indicative is experience of application of such methods in Germany. The existing German legislation directly authorizes application of the specified methods, and jurisprudence existing in this country testifies to an unconditional recognition vessels of proofs of the extent of the taxable base, the indirect methods of calculation based on application.

     The most widespread of them is the following:

- method of the general comparison of property.

     The technique of calculation of the taxable income is subdivided by this method into two parts:

a) the accounting of change of a property status for the reporting period;

b) the accounting of the made and personal consumption for the reporting period.

Sum of a property gain, on the one hand, and

production and personal consumption, with another, are compared with the declared income for the reporting period. On the basis of a gain of property of an unknown origin the conclusion that it turned out to be consequence of not declared income for the reporting period is drawn.

- the method based on the analysis of production stocks.

     Using this method, it is possible to give a reliability assessment

the object of sales reflected in the reporting with costs of production.

Except these methods some other are applied also. Expediency of legislative fixing of these methods repeatedly increases in connection with difficulties of the current situation in the country with a collecting of taxes. And the first steps are already taken in this direction. Public service on taxes and fees of Kazakhstan taking into account world experience, passed the relevant proposal in legislature the solution of the matter would allocate tax authorities with an effective remedy of increase in tax revenues in the budget, and also the powerful lever of strengthening of tax discipline by means of stimulation of taxpayers to ensuring appropriate maintaining registration documentation.

     The main objective of improvement of forms and methods of tax control is increase of its efficiency.  But it can't be reached without work improvement in shots.  It is necessary to enter system of ball evaluation of the work of the tax inspectors who are carrying out control checks.

     The essence of the ball assessment which is widely applied in Germany, consists in the following. Depending on category of each checked enterprise - proceeding from classification on large, average, small and small, and also branch accessory - the tax inspector a certain number of points is considered. Thus for the reporting period each tax inspector has to gather a certain minimum quantity of points. The number of the gained points can form the basis for a conclusion about its office compliance. Besides, the mark standard can form a basis for drawing up plans of checks for the forthcoming reporting period regarding the most optimum distribution of loading between certain inspectors.

       Thus, no improvement of forms will yield positive results if the tax inspector does constantly not improve the knowledge in the field of the taxation.

Formation of bases for further radical restructurings in the sphere of tax control has to become the main task at the present stage of reforming of tax system of RK.

I think it was possible to make use of positive experiment of the organization of tax control of France on terms of carrying out documentary prove-fate. The Russian legislation provided carrying out exit tax audit not more often than once a year within no more than three months.

      Practice of checks of the large enterprises showed that for such term it is impossible not only to analyse their documents in essence, but even on formal signs that significantly reduces quality of documentary check. Disclosure of "schemes" of leaving developed by economic practice is frequent from taxes demands big intellectual and time expenditure therefore restriction on review periods economically isn't justified.

     Experience of the USA where all data arriving from various organizations connected with activity of taxpayers, are entered into the computerized registration system is of special value for Russia, are automatically processed and compared with the data containing in tax declarations.

 

2.3 Assessment of changes of the tax legislation for the purpose of increase of efficiency of tax control

 Changes in Art. 88 "Cameral tax audit" of the Tax code are made. The essence of these changes is reduced to the following basic provisions:

Problems of cameral check consist in check of compliance of completeness of the presented tax reporting to requirements of the legislation about taxes and fees, completeness of indicators containing in the tax reporting, correctness of filling of forms of the tax reporting, the analysis of indicators of the tax reporting, identification of essential changes of the specified indicators in comparison with indicators of the reporting of the previous tax (reporting) periods, comparison of indicators of tax and accounting reports, identification of arithmetic mistakes, discrepancies (distortions) of indicators of the tax reporting and (or) accounting reports.

      At identification of essential changes of indicators of the presented reporting in comparison with indicators of the reporting of the previous tax (reporting) periods and (or) incomparability of indicators of the tax reporting and (or) accounting reports the tax authority has the right to send to the taxpayer the notice with the indication of the elicited facts and the requirement to submit in writing the explanation on the substance of these facts with the appendix of confirming extracts from registers of tax accounting and (or) accounting. The taxpayer is obliged within 5 working days from the date of delivery to him the specified notice to send to tax authority the claimed explanation with the appendix of the documents confirming this explanation, and the corresponding extracts from registers of tax accounting and (or) accounting.

      When carrying out cameral check of the taxpayer who has submitted the tax declaration according to which the sum of a tax is subject to return (compensation) or the tax privilege (the tax deduction is applied) is used, the tax authority has the right to claim at such taxpayer in relation to a concrete tax additional data, explanations and the documents confirming its right respectively on return (compensation) of the sum of a tax, on a tax privilege (a tax deduction). When carrying out cameral check on the taxes connected with use of natural resources, tax authorities have the right to claim other documents which are the basis for calculation and payment of such taxes at taxpayers.

     In other cases, besides mentioned in points 2 and 3, reclamation at taxpayers when carrying out cameral verification of additional documents isn't allowed.

     It is represented that offered changes in Art. 88 of the Code significantly limit the purposes and possibilities of cameral check, actually turning it from the main, most effective and mass form of tax control mainly into means of formal (technical) control of completeness and correctness of filling of the tax reporting. Considering the developed realities connected with absence at tax authorities of opportunity to provide rather full coverage of taxpayers by exit checks (only about 5-8% of the taxpayers consisting on the account in tax authorities, "are annually covered" by exit tax control), it is possible to assume that realization of this approach will promote "loss" of considerable number of average and small taxpayers from the sphere of profound tax control. Such situation, certainly, only will strengthen gained very wide circulation among taxpayers of mood of impunity and permissiveness and will inevitably lead to decrease in tax revenues in the state budget.  It must be kept in mind also that introduction of restrictions on reclamation of additional documents at cameral check considerably limits possibilities of use of this type of checks as means of purposeful selection of taxpayers for exit checks as the indicators containing in tax and accounting reports, for this purpose it isn't enough.

     Thus, introduction of the specified changes in Art. 88 of the Code can have an adverse effect not only on efficiency of cameral control by results of which for the last 3 years about one third of the sum of additional charges on tax audits (without the penalty fee added by cards of personal accounts), but also on efficiency of tax control as a whole is provided.

     Due to stated it is obviously necessary:

- to establish check of completeness and timeliness of calculation, deduction and payment of taxes as the main objective of carrying out cameral check;

- to keep the right to claim at the taxpayer when carrying out cameral check the additional documents, validating calculations and timeliness of payment of taxes behind tax authorities. Thus, not to allow unjustified reclamation by tax authorities of excess volume of documents, it is represented sufficient to include as it and is offered in amendments of the Ministry of Finance of the Russian Federation, in Art. 93 of the Code the situation forbidding to tax authorities to claim documents, earlier presented by the taxpayer to the appropriate tax authority. Thus, the tax authority which has received from the taxpayer necessary additional documents during cameral check, will be deprived of opportunity repeatedly them to demand when carrying out exit check. At the same time offered almost full prohibition of reclamation at the taxpayer of additional documents during cameral check, significantly reducing efficiency of tax control, in fact, won't cause as or significant improvement of conditions of activity of the taxpayer as documents in the volume necessary for check at it have to be all the same claimed, only not step by step, within cameral verifications of the tax reporting for the corresponding tax periods, and at a time, within the exit tax inspection which is carried out, as a rule, for a number of the tax periods.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Conclusion

 

     The tax system represents the difficult evolutionary social phenomenon which has been closely connected with state of the economy. Problems of tax system change taking into account the political, economic and social requirements imposed to it. Taxes from the simple instrument of mobilization of the income of the budget turn into the main regulator of all reproduction process, influencing all proportions, rates and economy operating conditions.

     For many years the fiscal role of system of the taxation prevailed over the regulating. Control function of the tax mechanism was an appendage of fiscal function. Tax control was reduced to search of violators and their subsequent punishment. There was no communication of the bodies exercising tax control. With transition to market economy tax control has to provide performance not only fiscal, but also regulating function of tax system, to give opportunity to estimate its efficiency, rationality of movement of financial resources, need of modification of the budgetary policy.

     Economic transformations carried out in the country demanded reforming of tax control, carrying out institutional transformations and creation of supervisory authorities of new type. Tax control gains paramount value as the instrument of influence of the state on economic behavior of participants of the market relations and formation of tax culture.

     The existing tax legislation fixes a duty of subjects of the taxation to make tax payments in established sizes and in certain terms. However cases from a tax duty both became lawful and illegal ways norm. It causes need of continuous implementation of the most strict control of a collecting of taxes.

Having analysed results of examination of tax authorities it is possible to draw some conclusions.

     Tax control is exercised in three forms: preliminary, current and the subsequent, using thus such methods as supervision, inspection, the analysis and checks which are subdivided on cameral and documentary. The last are a specific method of tax control which combines all methods.

     Need of improvement of forms and methods of tax control on payment of a profit tax follows from this that productivity of documentary checks makes 59-65%, i.e. practically every third check comes to an end without results.

     The most important factor of increase of efficiency of examination of tax inspection is improvement of operating procedures of tax control:

- systems of selection of taxpayers for carrying out documentary checks;

- forms, receptions and methods of tax audits;

- use of system of evaluation of the work of tax inspectors.