Find The Hidden Difference Between Finance and Taxation

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FIND THE HIDDEN DIFFERENCE BETWEEN FINANCE AND
TAXATION
Presented By Calltutors
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DISCUSSION OUTLINE
What is Finance? Type of Finance 1. Personal
Finance 2. Corporate Finance 3. Public
Finance What is Taxation? Types of Taxation 1.
Income Tax 2. Corporate Tax 3. Property Tax 4.
Capital gains 5. Sales Tax Conclusion
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WHAT IS FINANCE?
Finance is a term that means money management or
we can say that the management of the money means
finance. Finance is a broad term, and it
describes activities such as banking, credit,
debit, purchase, money, money claims, and
investments. And also the processes for
fundraising which are important that fundraising
processes are collected in it. In addition to
funding, there are also commitment studies, money
exploration, banking research, asset research,
investment research, credit exploration, and this
includes monitoring the creation of the financial
system.
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TYPES OF FINANCE
1. PERSONAL FINANCE
To achieve their desired savings and investment
goals by managing there funding or funds,
personal finance helps a person.Goals,
requirements, potentially earning funds, timing,
etc., these types of strategies depend on the
individuals. Some investments are included in
personal finance. And that investments are in the
education, assets, such as real estate, medicine,
cars, policies such as life insurance, as well as
management of other insurance, accumulation, and
expenses.
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2. CORPORATE FINANCE
The companys capital structure and the companys
expenses, these financing formations are related
to corporate finance. And the source of the fund
deals with corporate finance and the diversion of
these funds, such as increasing the value of the
company by allocating funds to resources and
improving the situation financially. By
concentrating and maintaining a balance between
risks and opportunities the value of assets
increases by corporate finance.
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3. PUBLIC FINANCE
This form of financing is linked to the
management of the companys revenue, debt burdens
and expenditures through various government and
quasi-government agencies. And this is also
linked to public bodies that include long-term
investment decisions. Some factors, such as
income distribution, resource allocation,
economic stability, are part of public finance.
Funds are derived principally from insurance
companies, from taxes or from banks.
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WHAT IS TAXATION?
Taxation is a term in which the tax
administration authority, usually the government,
collects or imposes the tax. The term taxation
is the noun or verb, it is usually called
taxes. In the economy, taxes are levied on who
pays the tax burden, regardless of whether it is
a taxable entity, such as a business, or the
final consumer of goods in the company.
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TYPES OF TAXATION
1. INCOME TAX
Within their jurisdiction the income generated by
the companies and the individuals and by the
governments tax levied on it is called the
income tax. According to the law, to determine
the tax liabilities submission of tax declaration
is a must for the tax-payers every year. The
governments revenue source is income taxes, so
it is important for every tax-payers to pay tax.
For the finance of public services, paying
government commitments, and providing goods to
the citizens they are used for these. Some
income, such as housing government bonds, are
usually exempt from income taxes.
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2. CORPORATE TAX
The company tax is the fee charged by the
government to the companys profits. The money
which is charged to corporate taxes is used as a
source of income for the people. The operating
income of an enterprise is calculated net of
expenses, including the cost of goods sold
(COGS), and depreciation from the proceeds. To
create a legal obligation the tax rates are then
applied that the business owes the government.
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3. PROPERTY TAX
Property which is owned by an individual or any
other legal entity, such as a corporation and the
tax which is paid for that property is called the
property tax. In general, property tax is a real
estate ad-Valorem duty that can be called as a
regressive tax. And the owner of the property
paid the tax which is calculated by the local
government. The tax is normally determined on the
basis of the property value which is owned,
including the land.  However, in many
jurisdictions, taxes are also levied on personal
material assets, such as cars and boats.
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4. CAPITAL GAINS
From the sale of certain assets, including
shares, bonds, or real estate property the tax on
the capital gains is levied on capital gains or
profits made by people or companies.
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5. SALES TAX
The tax which is on the sale of goods and
services imposed by the government is called the
sales tax. Normally the sales tax is transferred
to the government after being charged to the
retailer, all this is levied at the point of
sale. The company is responsible for sales taxes
in a specific jurisdiction where there is a
reciprocal link, which may be in the location
where the brick and mortar, employee, branch, or
other presence is located, depending on the law
of that jurisdiction.
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CONCLUSION
Now, after reading this blog you are able to know
what is the hidden difference between finance and
taxation. And this difference between finance and
taxation is very beneficial to you and helps you
a lot.
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