Part II theme 7. Specific features of the future profile.

Специфика будущей профессии

Text 1. Taxation as a source of revenue for the Government.

Taxation is the means by which the Government raises revenue to meet its expenditure. It may also be used as a means of influencing or controlling the economy.

The there largest of revenue are income tax, charged on income and profits of individuals, corporation tax’ charged on profits of companies, and value added tax suffered by consumers on a wide range of goods and services.

The Chancellor of the Exchequer introduces his or her proposals to raise the revenue needed to finance government expenditure in an annual Budget, usually presented to Parliament in MaTcFT each year. The Budget proposals, after debate and amendment in the House of Commons, become the Finance Act imposing the taxes for the current year.

We may divide these taxes into direct taxes, levied on income and profits and administered by the Inland Revenue, and indirect taxes, charged on consumption in one way or another.

The forecast revenue from the various taxes is:

million million % of total

Direct taxes (Inland Revenue)

Income tax 42.100 33

Corporation tax 19.800 15.5

Capital gains tax 1.950 1.5

Miscellaneous 4.150 3

68.000

Indirect taxes

(Mainly Customs and Excise)

Value added tax 26.200 20.5

Petrol and other fuel taxes 8.400 6.5

Cigarettes, tobacco 5.000 4

Alcoholic drinks 4.500 3.5

Miscellaneous 16.100 12.5

60.200

128.200

Task1. Read the text. Translate it into Russian and render it.

Task2. Memorize the key terms, concepts, expressions and their meaning.

1. taxation	налогообложение
source	источник
revenue	прибыль, доход
government	правительство
means-	средство
to raise	повышать, поднимать
to meet	соответствовать
expenditure	расходы
controlling	управление
income tax	подоходный налог
to charge	облагать, взимать
income	доход, прибыль
profit	доход, прибыль
individual-	частное лицо
corporation tax	налог с доходов корпорации
value added tax (VAT)	налог на добавленную стоимость (НДС)
consumer	потребитель
The Chanceller of the Exchequer	министр финансов
annual	ежегодный
amendment-	поправка
House of Commons	Палата Общин
to impose	налагать, облачать
direct taxes	прямые налоги
to levy	налагать, облагать
indirect taxes	косвенные налоги

Task3. Answer the questions. Solve the problems. Do the task.

1. Why taxation is considered to be the crucial source of revenue for the Government?

2. What is taxation?

3. What are the supplementary sphere of taxation?

4. What are the largest sources of revenue?

5. What is charged with income tax?

6. What is charged with corporation tax?

7. What is charged with value added tax?

8. Who introduces the proposals for an annual Budget?

9. Where an annual Budget is usually presented?

10. How often is an annual Budget presented to the Parliament?

11. Where are the Budget debate amendment and proposals take place?

12. What is the title of the Act imposing the taxes for the current year?

13. What are the two main groups of taxes?

14. What are the direct taxes levied on?

15. What are the indirect taxes levied on?

Task4. Discuss the following items.

1. Direct taxes and the share of the budget revenue for each for them.

2. Indirect taxes and the share of the budget revenue for each for them.

3. The procedure of introducing the annual Budget.

4. The ways of influencing and controlling the economy by means of taxation.

5. Why does the Budget revenue should correspond its expenditure?

Task5. Do the Test.