УДК 81:336.02(075.8) ББК 81.2Англ.-923я73 В18

Авторы (Финансовый университет при Правительстве РФ): А.И. Варламова, О.Ю. Дигтяр, М.В. Мельничук, В.М. Осипова

Варламова, Алла Игоревна. В18 Английский язык: налоги и налогообложение = and Taxation : учебник / А.И. Варламова, О.Ю. Дигтяр, М.В. Мельничук, В.М. Осипо ва. — Москва : КНОРУС, 2020. — 194 с. — (Бакалавриат). ISBN 978-5-406-07589-0 Отражает междисциплинарный принцип подхода к преподаванию блока профес сиональных дисциплин. Соответствует ФГОС ВО последнего поколения. Для студентов бакалавриата, обучающихся по направлению подготовки «Эконо- мика», профиль «Налоги и налогообложение», и изучающих дисциплину «Иностран- ный язык в профессиональной сфере». Ключевые слова: налоги и налогообложение; прямые и косвенные налоги; на логовые льготы. УДК 81:336.02(075.8) ББК 81.2Англ.-923я73

Варламова Алла Игоревна Дигтяр Олеся Юрьевна Мельничук Марина Владимировна Осипова Валентина Михайловна АНГЛИЙСКИЙ ЯЗЫК: НАЛОГИ И НАЛОГООБЛОЖЕНИЕ TAXES AND TAXATION Изд. № 518348. Подписано в печать 06.06.2019. Формат 60 90/16. Гарнитура «News Gothic». Усл. печ. л. 12,5. Уч.изд. л. 13,2. Тираж 500 экз. ООО «Издательство «КноРус». 117218, г. Москва, ул. Кедрова, д. 14, корп. 2. Тел.: 8-495-741-46-28. Email: [email protected] http://www.knorus.ru Отпечатано в АО «Т8 Издательские Технологии». 109316, г. Москва, Волгоградский проспект, д. 42, корп. 5. Тел.: 8-495-221-89-80.

© Варламова А.И., Дигтяр О.Ю., Мельничук М.В., Осипова В.М., 2020 ISBN 978-5-406-07589-0 © ООО «Издательство «КноРус», 2020 Оглавление

UNIT 1...... 6

PART 1...... 6 TOPIC FOCUS: The history of taxation in the world...... 6

PART 2...... 14 TOPIC FOCUS: planning...... 14

PART 3...... 22 TOPIC FOCUS: 5 Year-End Tax Strategies You Don’t Want to Miss...... 22 Taxes throughout Russian history...... 23 Taxes in Kievan Rus’: Poliudie and Povoz

UNIT 2...... 26

PART 1...... 26 TOPIC FOCUS: The Russian tax system...... 26

PART 2...... 34 TOPIC FOCUS: Roles of Tax Consultants...... 34

PART 3...... 42 Taxes throughout Russian history...... 43 Poliudie

UNIT 3...... 46

PART 1...... 46 TOPIC FOCUS: Special tax treatments...... 46

PART 2...... 55 TOPIC FOCUS: Tax Accounting Careers...... 55 4

PART 3...... 61 TOPIC FOCUS: 5 Ways to Short Bitcoin...... 61 CASE STUDY...... 62 Taxes throughout Russian history...... 63. “Any owner has to part with what has fallen from the cart”. Russian road “Myto”

UNIT 4...... 66

PART 1...... 66 TOPIC FOCUS: Functions of Taxation...... 66

PART 2...... 74 TOPIC FOCUS: Key Taxation Vocabulary...... 74

PART 3...... 81 TOPIC FOCUS: How the GOP* Tax Bill Affects You...... 81 Taxes throughout Russian history...... 82. Tribute to the Golden Horde

UNIT 5...... 85

PART 1...... 85 TOPIC FOCUS: Classes of taxes...... 85

PART 2...... 93 TOPIC FOCUS: Direct and Indirect Taxes...... 93

PART 3...... 99 TOPIC FOCUS: How Will Your Change?...... 99 Taxes throughout Russian history...... 100. The tamga tax

UNIT 6...... 102

PART 1...... 102 TOPIC FOCUS: Corporate profit tax...... 102

PART 2...... 109 TOPIC FOCUS: Corporate ...... 109

PART 3...... 115 TOPIC FOCUS: What Is An ICO?...... 115 CASE STUDY...... 116 Taxes throughout Russian history...... 117. The salt tax 5

UNIT 7...... 120

PART 1...... 120 TOPIC FOCUS: VAT...... 120

PART 2...... 127 TOPIC FOCUS: How VAT works...... 127

PART 3...... 135 TOPIC FOCUS: I want to start my own ICO. How do I do that?...... 135

Taxes throughout Russian history...... 136. Heavy Taxes and Burdens Under Peter the Great

UNIT 8...... 140 PART 1...... 140 TOPIC FOCUS: The Mechanism of VAT collection...... 140

PART 2...... 148 TOPIC FOCUS: ...... 148

PART 3...... 156 TOPIC FOCUS: How Interest Rates Affect Property Values...... 156 Taxes throughout Russian history...... 158. The beard tax

UNIT 9...... 160

PART 1...... 160 TOPIC FOCUS: An ...... 160

PART 2...... 166 TOPIC FOCUS: Roles of Tax Authorities...... 166

PART 3...... 173 CASE STUDY...... 175 Taxes throughout Russian history...... 176. Government regulations against the monasteries

DIALOGUES...... 178

ЛИТЕРАТУРА...... 192 UNIT 1 PART 1 TOPIC FOCUS: THE HISTORY OF TAXATION IN THE WORLD

Discuss these questions with a partner. 1. What do you know about the history of taxation? 2. What countries have the lowest and the highest taxes? 3. Can taxes be negative or positive? 4. Is it possible to have “rational” tax system?

Exercise 1. Practice reading the following words and collocations. a) approximately; bureaucracies; diverse; eventual; failure; fifth; foreign- er; grievance; headgear; issue; jurisdiction; militiamen; partially; significant- ly; stationary; surplus; throughout; thus; turmoil; wearisome; welfare; weird; b) ancient civilizations; centralized governments; Chinese societies; effort; European and Mediterranean civilizations; Egyptian Pharaohs; excessive tax burden; Greeks, Egyptians and Romans; functional equivalent; hefty duties; Jews and Christians; medieval period; mercenary force; monarch; Muslim conquerors; previously purchased; tax legislation; tax records; c) accumulate; be dedicated to smth.; be obligated to do smth.; be subject to smth.; enforce tax policies; ensure; weigh heavily on smth. The history of taxation The basic principles of taxation are nearly as old as human society—the history of taxes stretches thousands of years into the past. Several ancient 7 civilizations, including the Greeks and Romans, levied taxes on their citizens to pay for military expenses and other public services. Taxation evolved significantly as empires expanded and civilizations became more structured. The earliest known tax records, dating from approximately six thousand years B.C., are in the form of clay tablets found in the ancient city-state of Lagash in modern day Iraq. This early form of taxation was kept to a min- imum, except during periods of conflict or hardship. The Greeks, Egyptians and Romans also enforced tax policies that they used to fund centralized governments. The Greeks levied several types of taxes that are still enforced in many developed countries, including taxes on property and goods. Unlike early Greek taxation, the Roman policies began to weigh heavily on the citizens as the power and corruption of the empire’s central government grew. The excessive tax burden on productive Roman citizens during the 4th and 5th centuries was a leading cause of the nation’s eventual economic collapse. Early taxation was not limited to European and Mediterranean civiliza- tions, ancient Chinese societies also levied taxes on their citizens. The Chi- nese instituted a form of around 600 B.C. that required 10 per- cent of cultivated land to be dedicated to the central government. All produce generated from the dedicated portion of land was taken as a tax. Fair taxation was a key issue for many English citizens during the me- dieval period. Most citizens were subject to a , which was a on every adult in a jurisdiction, as well as property and church taxes. Even peasants that did not own land had to pay property taxes on land that they rented. They were also obligated to donate 10 percent of their labor or produce to the church. In 1215, a large portion of the English nobility revolted against their monarch, King John, who had implemented new taxes and increased exist- ing ones to finance his military ambitions in continental Europe. The king levied more taxes to help pay for a large-scale conflict, including hiring a large mercenary force, and to make up for the loss of taxable territories in France during the war. Many land-owning nobles did not trust King John’s leadership and did not feel responsible for supporting the war effort. While turmoil and provincial strife dominated European politics, a unified and expansive empire emerged in the Middle East. Muslim conquerors took over a large portion of northern Africa and the Mediterranean region during the 14th and 15th centuries. They ruled over a diverse collection of popula- tions, including nomads, Jews and Christians, who were subject to special forms of taxation that did not apply to Muslim citizens. Stationary societies that did not convert to the beliefs and traditions of Islam had to pay a spe- cial tax. 8

Taxation policies developed quickly during the colonial period as wealth began to flow into Europe from colonies in Africa, Asia and the Americas. Great Britain enforced the first general income tax in 1799 to help finance their war against Napoleonic France. This tax was also scaled according to income, much like the income taxes levied in most modern systems. The dispute between the American colonists and the English crown that eventually led to the American Revolution is partially attributed to disputes concerning fair taxation. The colonist’s main grievance with the was distilled into a simple phrase, “No taxation without representation.” While the colonists were forced to pay taxes to England, including hefty duties on staples like tea and stamps, they did not receive any direct rep- resentation in Parliament or in the monarch’s court. When the United States was founded, the federal government levied relatively few taxes. The country did not maintain a significant military force during times of peace. Instead, it relied on local militiamen for protection from marauders and local rebellions. The central government was also much smaller than it is now, and required much less money to maintain. As the new country developed, it encountered several crises and conflicts that prompted changes to the tax code. The first federal income tax in the United States was created shortly after the Civil War to pay for the debts accrued during the costly internal conflict. The tax was not universal; it was only applied to citizens above a certain income level. This federal income tax was repealed in the 1870s, but a later administration created new federal tax legislation in 1894. Many European nations also adopted income taxes during the 19th cen- tury. The unifying Prussian influence over many of the independent German states helped entrench the principles of income tax in continental Europe.

Exercise 2. In the text, find the answers to the following questions. 1. Why did ancient civilizations impose taxes on their citizens? 2. What can you say about , Egypt and the Roman Empire? Were their systems similar? 3. Was China distinct in taxation? Why? Why not? 4. Did English people have the excessive tax burden? 5. Why did the English nobility revolt against King John in 1215? 6. What can you say about the taxation policy in the Middle East? 7. What does the saying “No taxation without representation” mean? 8. Were there lots of taxes when the United States was founded? Why? Why not? 9. What was the purpose of the first income tax creation in the USA? 9

Exercise 3. Find a word in the text that matches each definition below. The words appear in the same order as in the text 1. A society that has developed its own culture and institutions. ______2. (two words) Service provided or supported by a government or its agencies.______3. A means by which governments finance their expenditure by imposing charges on citizens and corporate entities.______4. To impose rules; to keep in compliance.______5. (two words) The amount of income, property, or levied on an individual or business.______6. Very old.______7. (two words) Local tax assessed on property owned, such as real estate or automobiles______8. (a phrasal verb) To compensate for something.______9. (two words) Annual tax levied by the Federal government, most states, and some local governments, on an individual’s or corporation’s net profit.______10. Costing a lot of money, or costing too much money. ______

Exercise 4. Sentence completion. Read the sentences and complete them with the following words. equivalents expenditures interest enforcement taxation unemployment infrastructure indirect law taxpayer

1. A tax is a financial charge or another levy imposed upon a ______(an individual or legal entity) by a state or the functional equivalent of a state to fund various public ______. 2. A failure to pay, or evasion of or resistance to taxation, is usually punishable by ______. 3. Taxes consist of direct or ______taxes and may be paid in money or as its labour equivalent. 4. Few countries impose no ______at all, such as the United Arab Emirates and Saudi Arabia. 5. Money provided by taxation was used by states and their functional ______throughout history to carry out many functions. Some of these include expenditures on war, the ______of law and public order, protection of property, economic ______(roads, legal tender, enforcement of contracts, etc.), public works, subsidies, and the operation of government itself. 10

6. A portion of taxes also goes to pay off the state’s debt and the ______this debt accumulates. 7. Governments also use taxes to fund welfare and public services: education systems, health care systems, pensions for the elderly, ______benefits, and public transportation.

Exercise 5. Text completion. a) Read this article about the history of taxation in which some sen- tences and phrases are missing. ______(1) The word ‘tax’ first appeared in the English language only in the 14th century. It derives from the Latin taxare which means ‘to assess’. Before that, English used the related word ‘task’, derived from Old French. ______(2). ‘Tax’ then developed its meaning to imply something wearisome or chal- lenging. So words like ‘duty’ were used to suggest a more appealing pur- pose. ______(3) China has one of the longest of all written records, and we know that taxes were levied here some 3,000 years ago as the Empire was being established. Powers (usually military) that were able to impose taxes cre- ated the first bureaucracies to collect and administer them. Under the Egyp- tian Pharaohs ‘scribes’ were charged with raising funds in any way practi- cable, including a tax on household cooking oil. ______(4). The ‘Book of Genesis’ in The Bible suggests that a fifth of all crops should be given to the Pharaoh. The city states of Ancient Greece imposed eishpora to pay for wars, which were numerous; but once a war was over any surplus had to be refunded. Athens imposed a monthly poll tax on foreigners. Imperial Rome used tribute extracted from colonized people to multiply the bounty of empire. ______(5).

b) Match these sentences (A-E) with the gaps in the article (1–5).

A For a while, ‘task’ and ‘tax’ were both in common use, the first requiring labour, the second money B Julius Caesar imposed a one-per-cent sales tax; Augustus instituted an to provide retirement funds for the military C Regular audits were conducted to ensure that oil was not recy- cled — perhaps the first historical record of ‘avoidance’ D The origine of the word “tax” E The written evidence 11

Exercise 6. Fill in the following prepositions where necessary. after in(x3) from for on (x2) to(x2) throughout of (x2)

______(1) history there have been many strange, unusual, and weird taxes. Many of them were implemented to raise additional revenue, while the purpose ____ (2) others was to promote social change. Here are some of the strangest ones. ___ (3) Ancient Egypt, cooking oil was taxed, and on top of that, people had to buy their taxed cooking oil ____ (4) the Pharaoh’s monopoly, and were prohibited from reusing previously purchased oil. In Ancient Rome, it was not uncommon for slave owners to free their slaves _____ (5) a certain number of years of work. Slaves could pay a fee because many of them had the opportunity to work ____ (6) several places, and thus could earn the money used to obtain their freedom. The Roman government required the newly freed slave to pay a tax _____ (7) his or her freedom. During the Middle Ages, European governments placed a tax on soap. It remained in effect ___ (8) a very long time. Great Britain didn’t repeal its soap tax until 1835. In 1696, England implemented a window tax, taxing houses based ____ (9) the number of windows they had. That led ____ (10) many houses hav- ing very few windows in order to avoid paying the tax. Eventually this became a health problem and ultimately led _____ (11) the tax’s repeal in 1851. In 1705, Russian Emperor Peter the Great placed a tax on beards, hop- ing to force men to adopt the clean-shaven look that was common _____ (12) Western Europe. The French had a salt tax called the gabelle, which angered many and was one _____ (13) the contributing factors to the French Revolution.

Exercise 7. Word formation. Complete these sentences using the base word given at the end of each sentence. You need to form an appropriate word. The first one (0) is given as an example. 0 In 1660, England placed a tax on fireplaces. The tax led to people covering their fireplaces with bricks to conceal them and avoid paying the tax. (PAY) 1 In the 1700’s, England placed a tax on bricks. Builders soon realized that they ______use bigger bricks (and thus fewer bricks) to pay less tax. (CAN) 12

2 In 1712, England imposed a tax on printed wallpaper. Builders avoided the tax by ______plain wallpaper and then painting patterns on the walls. (HANG) 3 England introduced a tax on hats in 1784. To avoid the tax, hat-makers stopped calling their ______“hats”, leading to a tax on any headgear by 1804. (CREATE) 4 In 1789, England ______a tax on candles. People were forbidden from making their own candles unless they obtained a license and then paid taxes on the candles they produced. (INTRODUCTION) 5 In 1795, England put a tax on the aromatic powders that men and women put on their wigs. This led to a dramatic decline in the ______of wigs. (POPULAR) 6 In 1885, Canada created the Chinese Head Tax, which taxed the entry of ______immigrants into Canada. (CHINA) 7 Salt was a very popular thing to tax because ______is necessary to humans. (CONSUME) 8 England has a tax on televisions. If you own a television in your home, you must pay an annual fee, ______called a television license, for each television you own. (FORMAL) 9 Color televisions are taxed at a _____ rate than black and white televisions. (HIGH) 10 ______enough, if a person is blind and owns a TV in his or her home, he or she still has to pay the tax, though only half of it. (INTEREST) 11 States like Iowa, Pennsylvania, and New Jersey exempt pumpkins from a sales tax but only if they are ______and not carved. (EAT)

Exercise 8. Match the left parts (1-3) with the right ones (A-D). 1 tax rates A allow you to set different tax rates for items such as Shipping, Gift Wrapping and custom product classes. 2 tax zones B are the percentages at which products or services are taxed. 3 tax classes C are the geographical areas which tax rates are . applied to. They can be defined by country, state/. province or zip/postal codes. UNIT EXTENTION Exercise 9. Two-minute presentation. Choose one of the following subjects and prepare to give a two-minute presentation to the group. • The various systems of taxation in ancient time • The various systems of taxation in medieval time 13

• The various systems of taxation in modern time • The impact of taxes on the course of civilization • The crucial role of taxes in the Roman Empire • Strange and unusual taxes from around the world • History of taxation in the United States • History of • History of taxation in the United Kingdom • A brief history of Australia’s tax system • Successful tax reforms in the world • A world history of tax rebellions • Taxation: its triumph and collapse PART 2 TOPIC FOCUS: TAX PLANNING

Discuss these questions with a partner. 1. What is tax planning? 2. What is the purpose of tax planning? 3. What are the basic tax planning strategies? 4. What tax planning strategies does your company apply? 5. Why is important for the EU? 6. What forms can tax harmonization take? 7. What are the main obstacles to attaining tax harmonization within the EU? 8. What measures have been taken within the EU to prevent VAT ? Tax Planning Every financial or investment decision a company or individual makes has its tax implications. Failing to recognize the tax impact of these decisions can produce serious consequences, which may undermine company’s finan- cial objectives. In order to prevent such situations from occurring, companies design and implement various strategies intended to reconcile financial goals with their tax implications and minimize the amount of taxes paid. This approach to tax preparation is known as tax planning. Tax planning is an analysis of a financial situation from a tax perspective, which involves exploring tax-saving opportunities and anticipating tax implications of invest- ment and financial decisions. Effective tax planning aims at both minimizing tax liability and accomplishing tax compliance. For that reason, tax planning 15 is largely considered a critical component of tax compliant behaviour. Tax planning strategies may include the following: Claiming Business Expenses and Depreciation Allowances Tax deductions can be obtained by claiming direct business expenses, such as work, transport, education expenses or claiming deductions related to property or assets, such as depreciation allowances. Fringe Benefit Planning Obtaining allowable tax deductions can be achieved through fringe ben- efit planning. That means offering salary packaging in form of non-cash benefits that are frequently not subject to income tax. Splitting income Reducing can be achieved by distributing or splitting income among legal entities or, in other words, moving income away from an entity paying a high rate of tax to an entity paying a lower rate of tax. Deferring tax liabilities Deferring tax liabilities means postponing tax liabilities until such time when income is available or taking advantage of lower tax rates. Investment Tax Planning Investment tax planning reduces the amount of taxable gains from an investment sold at a profit and delays realization of capital gains. A proper timing of a capital gains tax event is an important aspect of investment tax planning. Negative Gearing Negative gearing, as a tax planning strategy, refers to a situation when the amount of income received from an investment is less than the interest ex- pense. The difference between the two can be used to claim tax deductions.

Exercise 1. In the text, find the answers to the following questions. 1. What is tax planning? 2. What are the objectives of tax planning? 3. How can fringe benefits be used for tax planning purposes? 4. How can splitting income reduce tax liability? 5. What is negative gearing and why is it important for tax planning?

Exercise 2. Find a word in the text that matches each definition be- low. The words appear in order. 1. (two words) Tax consequences ______2. (two words) Tax effect ______3. To lessen the effectiveness______16

4. To bring into agreement; make compatible or consistent______5. Acting in advance of a future situation; anticipatory ______6. (two words) An analysis of a financial situation from a tax perspective, aimed at aligning financial goals with tax efficiency______7. (two words) An amount that can be taken off a business’s profit figure when calculating tax, to allow for the fact that an asset has lost part of its value during a particular period of time______8. (two words) Dividing income among family members______9. (three words) To postpone tax liability ______10. (two words) A situation when the amount of income received from investment is less than the interest expense______

Exercise 3. Complete the sentences with the words from the box: 1. What are the ______of foreign property ownership? 2. Tax planning involves ______financial goals with tax implications. 3. ______refers to the process of transferring income from the hands of one family member to another. 4. The key to effective tax planning is to ______for as long as possible in order to invest money, earn income, reduce debt, and to make other purchases. 5. ______from one year to another is one way to cut tax liability. 6. In many countries, some ______payments are tax deductible. 7. In certain cases, taxpayers can claim ______to recover part of the costs associated with property. 8. In general, it is considered advantageous to delay the ______as long as possible. 9. ______is a measure of how much of the return on an investment is left over after the taxes are paid. 10. ______can be used to offset future years’ capital gains. defer tax liability tax efficiency reconciling depreciation allowances shifting income splitting income capital loss carryforwards tax implications fringe benefit realization of capital gains

GRAMMAR FOCUS: Exercise 4. Reported Speech. Relate the fragment from the conversation to your collegue as it is in the example. Mark: ‘I am going to analyse the client’s investment portfolio as soon as possible.’ 17

Sue: ‘I have advised the client to shift income to the next year.’ Jane: ‘We must insist on salary packaging that includes non-cash benefits.’ Richard: ‘We failed to defer the realization of capital gains.’ Ann: ‘I always try to reconcile financial goals with their tax implica- tions.’

Exercise 5. Relate to your partner the conversation from a meeting you have recently been to.

Exercise 6. Text completion. Read the text and complete it with the following words. fiscal sovereignty uniform tax system tax harmonization thresholds origin-based bilateral indirect taxes discriminatory tax measures double taxation Tax Harmonisation Creating conditions for free movement of goods, labour and services requires a tax system that is based on a common set of rules. The process of convergence of tax system, or ______(1), is of particular importance for the European Union. This is because proper functioning of a single market necessitates elimination of ______(2), such as duties and barriers. Tax harmonization can take different forms and may involve harmoniza- tion of either tax bases or tax rates, or both of them (full harmonization). However, there are many obstacles to achieving that goal. These obstacles are primarily the result of unwillingness of member states to surrender their tax and ______(3) to the EU on account of various economic, po- litical and social reasons. In consequence, the creation of a ______(4) is no longer the primary objective within the EU. Instead, it strives towards approximation of national tax system and harmonization of ______(5), VAT in par- ticular. VAT Harmonisation Although VAT is relatively easy to administer within a single country, it becomes more complex when businesses operate across borders, and more than one country imposes their VAT regulations. In order to prevent ______(6), most EU countries have adopted the destination-based prin- ciple of taxation, under which VAT is levied in the country where the taxed product is being sold. An alternative to destination principle is the ______(7) principle, which requires that VAT is collected in the country where production takes place. 18

Direct Tax Harmonisation Harmonization of direct taxes proved a difficult task due to numerous discrepancies between member countries. Those discrepancies arise from different mechanisms for calculation of tax base, different levels of tax rates, different tax-free ______(8) and different forms of taxation in general. Double Taxation Agreements Since many businesses or individuals, residents in one country, earn taxable gains abroad, they may be subject to taxation in both countries. In order to prevent this from happening, many countries have signed ______(9) double taxation agreements. Under the provisions of these agreements, taxpayers are usually required to pay a tax in the country of residence and are exempt from payment in the country in which the gain was earned.

Exercise 7. Match the words below to their definitions.

1. convergence A. something that makes imports and international trade more difficult or expensive 2. tax harmonisation B. the principle under which value added taxes are kept by the country where the taxed product is being sold 3. discriminatory C. the process of eliminating the tax barriers and discrepancies between the tax systems 4. trade barriers D. the principle under which value added taxes are kept by the country where the production takes place 5. sovereignty E. the state of becoming similar, but not the same 6. uniform F. complete independence and self-government 7. approximation G. treating particular people, companies or products differently from others, especially in an unfair way 8. double taxation H. conforming to one principle, standard or rule 9. destination principle I. the process of gradually changing to become similar 10. origin principle J. a situation in which two or more governments charge tax on the same income or property

SPEAKING FOCUS 1. What tax planning strategies do you find most effective and why? 2. What tax planning strategies do companies in your country employ to reduce the amount of taxable income? 3. You are a tax adviser engaged by your partner’s company to improve their tax position. Suggest several tax planning strategies and explain how they might help. 4. Describe the impact that tax harmonization produces on your country. 19

VOCABULARY FOCUS accrue (v) накапливать Americas Северная и Южная Америка appealing привлекательный approximation приблизительное соответствие attribute (v) приписывать be subject to smth. подлежать; подпадать под действие; подвергаться Book of Genesis Книга Бытия bounty нажива, награда carve (v) вырезать clay tablet глиняная дощечка compliance соблюдение законодательных требований compliant behaviour уступчивость conceal (v) скрывать, утаивать convergence сближение; взаимодействие dedicate (v) предназначать defer (v) откладывать; переносить срок depreciation allowance налоговая скидка на износ основных средств derive from (v) происходить от; выводиться из double taxation двойное налогообложение donate (v) жертвовать; дарить encounter (v) столкнуться enforce (v) вводить в действие; воплощать в жизнь соблюдение законов и правил entrench (v) укреплять; укоренять excessive чрезмерный; повышенный; непомерный fiscal sovereignty налогово-бюджетный суверенитет flat tax фиксированный подоходный налог fringe benefits дополнительные льготы grievance недовольство hefty внушительный; значительный headgear головной убор institute (v) учреждать; устанавливать Jew иудей large-scale широкомасштабный; большой