DOI: 10.7256/2454-065X.2015.7.14681

Abstract: The optimization of tax expenditures and the balance of interests of all participants of tax relations in the presence of the economic crisis become the object of close attention of the government. A significant share of the financial outflow consists of obligatory payments to the budgetary and extrabudgetary funds payable from revenues of individuals working at an organization. Reduction of tax expenditures attributable to salary funds would increase the efficiency of the organization. Finding a reasonable compromise between the regulatory authority and the taxpayer, i.e. policyholder has become one of the main criteria of the process of tax planning. Elements of personal income tax determine the value of the tax base and payment to be paid including tax rates clearly presented in a tabular form and the current tax deduction system developed in a form of a schema. In addition, the researcher identifies the essential aspects of planning and offers legitimate methods to minimize tax expenses attributable to the income of employees at an organization. The analyzed data are of interest primarily for practitioners in the financial service of business entities with employees as well as for students of economic specialties as a supplement to courses in taxation.

DOI: 10.7256/2409-7802.2015.2.14788

Abstract: In the early 1990s, a tax system was introduced in Russia which included a personal income tax and payments into social non-budgetary funds, collected from incomes of employees. From the very beginning, the similarity of the subjects of taxation in the terms of wages and other incomes of the personnel became a linking element between these taxes, which enables to view these payments within the framework of a separate sphere – taxation of the personnel’s incomes that regularly undergoes changes. Large-scale reforms have been carried out in order to ensure the effectiveness of collection of personal income taxes and required premiums. Draft laws concerning an introduction of a progressive scale for personal income taxes and reconsidering some elements of required premiums have been consistently submitted to the Russian Parliament. For an illustration, the mechanisms of calculating the amounts of required premiums and personal income taxes are presented in concrete examples.  The author comes to the conclusion that searching for a well-grounded compromise between controlling authorities, on the one side, and tax payers and insurants, on the other, should serve as one of the main criteria in tax planning. The examined material may be of interest for workers of financial services of business units that have salaried employees, as well as for students of economics as an additional educational material on taxation.