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Comparison Essay on Tax Systems in Great Britain, the United States of America and Lithuania

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Comparison essay on tax systems in Great Britain, The United States of America and Lithuania | | | |
"Government does not tax to get the money it needs; government always finds a needa for the money it gets." That’s what once said Ronald Reagan about taxes and what it is collected for. Of course, it was a joke, but I may bet there are lots of people, who would agree with that thought. Sometimes they even feel that they are caught in the behemothian jaws of government. In general, tax is money that one has to pay to the government so that it can pay for public services.
Great Britain, The United States of America and Lithuania have the similar taxes. And the most known of them, in my opinion, are income tax, state social insurance contributions and VAT (value added tax). Income tax is the amount of money, which is paid by everyone earning a certain income, starting with just a few hundred dollars (pounds, litas) per year. In Lithuania like in other two countries, income tax should be paid not only by the native residents, but also by people and organizations that work in the country. In Lithuania, the tax rate is 15 per cent on income from distributed profit, interest, seamen income, income from sporting, artistic activities, royalties, income from rent or sale or any other form of transfer of property, pensions paid out of Lithuanian pension funds, life insurance payments and 33 per cent for other items, not listed above. That means, that most of Lithuanian working people pays about one third of their salaries to the government. In the USA the income tax rate this year is 29.1 per cent. It means that they give almost 4 per cent less than Lithuanians do. They even calculated that by paying income tax they work from January 1 until April 17 for government. The situation is different in the Great Britain. If a person is single and has no dependants, he may earn

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