PDF format - International Tax Dialogue

Table 6. SME Survey Response to the Questionnaire: Criteria for Presumptive Taxation
Country 20. Tax Base Tax Rates by Region Does Revenue Accrue to Sub-
National Governments?
Is there a Simple Patent?
Albania
Algeria
The presumptive levels of local taxes for small businesses
are divided in three categories depending on the
municipality’s venue. Due to this division, the venue was
decided in conformity with law 9432, dated October 13,
2005.
IFU applies only to unincorporated businesses (PP and
individual enterprises).
… … …
… … No, the IFU is the only
simplified regime.
Argentina
The system applies to both incorporated and
unincorporated taxpayers.
… … No
Benin
The Simplified Tax System (RSI) applies to all types of
taxpayers, individuals or corporations, whose annual
turnover meets the established threshold.
There are differences in the tax treatment of
small businesses. In towns that have a special
status, small enterprises are subject to a
composite tax, the single professional tax
(TPU), and are not required to declare. Their tax
is calculated using an automatic formula based
on data collected by tax officers during the
annual tax surveys. Small businesses in other
localities are subject to the presumptive BIC,
whose base is the result of an understanding
with the taxpayer and is renewable by tacit
rollover to the next year. A reform is under way
to harmonize treatment in the case of small
enterprises.
…
Yes, it is applicable to all
enterprises. In case of itinerant
or unorganized vendors who
sell on markets or the street,
the patent is a presumptive tax
that pays the tax liability in
full.
Bolivia
The simplified system is applicable only to individual
traders. It is based on the trader's assets and are paid
bimonthly.
… … Simple patents are charged by
municipal governments.
Brazil
The tax base for both the SIMPLES and the "Lucro
Presumido" is the annual turnover.
No, rates vary only in function of the turnover
level.
Yes, part of the SIMPLES
revenue goes to the states and
municipalities, given that it is
an integrated system (i.e.,
collected susbstituting the state
VAT and the municipal service
tax).
No
Chile
China
In the case of VAT, the base of the presumptive taxation is
the value of the taxpayers' assets (building, vehicles). In
the case of VAT the system is based on monthly fees.
These fees are established by the authorities based on level
of sales, inventory turnover, assets (buildings, equipment,
etc.)
According to the provisions of the Law of the People’s
Republic of China Concerning the Administration of Tax
Collection and the Provisional Regulations for the
Determination and Collection of Enterprise Income Tax,
regardless of whether a taxpayer is an unincorporated
enterprise or a medium or small incorporated enterprise,
only those which match one of six tax determination
(presumptive taxation) situations shall adopt the tax
determination and collection method. Taxpayers
implementing the tax determination and collection method
may adopt the fixed amount collection method or the
determined taxable income rate collection method, as well
as other reasonable methods.
… … There is a municipal fee which
is calculated as 0.5% of the
capital of the company.
… … No
Colombia
The base of the presumptive tax is the taxpayer's net
worth. In some circumstances the gross assets ca be used
as tax base after some deductions. Part of the assets
devoted to agriculture and fishing are exempt.
… … No
Kenya … … … No