How to Avoid Tax Problems? Find Out!

Tax structures already have sophisticated systems which control how different taxable persons fulfill their obligations for all types of taxes steuererklärung, make analysis of tax data and help to define the ways to change fiscal policies. Conceptualizing more complex ways for taxes, collection of obligations, large scale tax avoidance and fiscal evasion would have been impossible without the help of Information Technology (IT) systems.

The essence of an IT system is a tax administration program. The system is conceived as a unique structure which registers every relation between taxable persons and tax administration, follows and assesses tax declarations by taxpayers violating obligations, etc. The program allows extracting a series of reports which facilitate the work of the tax administration to follow the collection of obligations from taxpayers.

The IT system is programmed in the language of a special name. At the bottom of the application lies a relational database which stores all the detailed data on a taxable person as well as all the transactions the taxpayer makes with the tax administration. Created for every taxpayer at the moment of registration with the tax authorities, the personal tax number (PTN) is their unique identification. The same PTN can never be given to different taxpayers. The system is constructed in compliance with legal provisions for the administration of taxes.

Every taxpayers exercising economic activity subject to these taxes has the following relations with the tax administration: register for taxes, prepare and file the tax declaration, make payment of tax obligations in the branches of the bank and inform the tax administration about every change in his registration. The IT system follows these stages of relations with taxpayers: register the taxpayer and assigns the PTN, process the taxpayer's declarations and payments made in the banks, calculate eventual obligation unpaid by the taxpayer, generate reports to follow taxpayers which fail to fulfill their obligations or "forget" to file their declarations, generate Reminders and Obligation Notices, applies penalties for late payments and declarations, calculate interests on unpaid obligations and pursues penalties applied by inspectors.

These forms are kept in single copies. The inspector preparing the form should be sure to complete it correctly, according to the procedures and when necessary, obtain the signatures of persons authorized to allow modifications. Only persons authorized by the system with authorized passwords can enter these forms into the database.

The following forms are used for these processes:

a. Re-assessment of Declaration and Payment Forms

This form is necessary to re-process a tax period previously processed by the system due to changes as compared to the original declaration. Additional and incorrect information observed during an audit or presented by the taxpayers themselves provides the basis for the re-assessment of this period.

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