Definitions:tax year - the fiscal year for which entities and individuals report and file taxes.
Purposes:- To set a framework for the collection of tax revenues.
- To set a framework for administration of tax collection and tax fraud investigation.
- To establish a system of national tax numbers.
- To set a framework for distribution of tax credits and tax refunds.
§1 -
National Revenue Servicea) The National Revenue Service (NRS) shall be established as an executive department of the Ministry of Finance.
b) The NRS shall collect taxes from individuals, businesses, and other entities.
c) The NRS shall handle all administration of revenue collection.
d) The NRS shall handle all distribution of tax credits and refunds.
e) To administer revenue collection and tax credit payments, the NRS shall create a State Tax Number (STN) for every Elizian worker, taxpayer, and business.
f) The NRS shall have funds appropriated to it to hire employees to administer the NRS and to hire executives to manage the NRS.
g) The NRS shall investigate tax fraud and avoidance, in accordance with the Justice Ministry.
§2 -
State Tax Numbera) All registered businesses, paid employees, contractors, and workers, and any other individuals or entities that receive income (both earned and unearned) must have a State Tax Number.
b) All legal residents and registered businesses who have the right to work or be in business, respectively, are entitled to a State Tax Number.
c) The National Revenue Service shall create an STN for all of the aforementioned groups in §2-a.
d) Groups mentioned in §2-a must get an STN from the National Revenue Service in order to be employed, open for business, and earning income.
e) Employers must have an STN for any person they pay wages or salaries to in order to employ them.
f) The formula for creating the STNs shall be developed by the National Revenue Service, and must be a random string of numbers.
§3 -
Tax Collection from Individual Employeesa) People employed by a firm, not as a contractor, shall have personal income and social taxes deducted from their wages or salaries by their employer, via a "Pay As You Earn" (PAYE) system.
i.) Individuals shall be automatically enrolled in the PAYE system.
b) Individuals shall also have the right to pay their tax liability in a lump-sum at the end of the year.
c) The NRS shall devise a framework for administering this system.
§4 -
Tax Collection from other Income-Earning Individualsa) Individuals who earn income, not as employees of a firm, must pay applicable taxes by filing an annual tax return with the NRS.
b) Individuals shall have the right to pay tax on a quarterly basis or annual basis.
c) The NRS shall devise a framework for administering this system.
§5 -
Tax Collection from Private Entitiesa) Private entities, such as businesses, must pay applicable taxes by filing an annual tax return with the NRS.
b) The NRS shall devise a framework for administering this system.
§6 -
The Tax Yeara) The 'tax year' shall run from the 1st of January to the 31st December.
b) Tax returns must be filed with the NRS by the 31st of March.