Direct and indirect taxes




Direct tax is one that directly taxes sources of wealth , property or income , such as income taxes , estate taxes , inheritance tax , property tax free of charge , property taxes Properties , on the possession of vehicles ( Tax of the possession or use of vehicles , Tax on vehicles of Mechanical Traction ), animals, etc. In historical tax systems the capitation was given (tax equal to all the inhabitants) and also were direct taxes many of the required within the complex fiscal system around the feudal rent .

Indirect tax or indirect taxation is the tax levied on consumption . Its name is that it does not directly affect the income of a taxpayer, but it falls on the cost of some product or merchandise . The most important indirect tax is the value added tax or VAT which constitutes an important part of the tax revenues in many countries of the world. Historically, this is the case of the Castilian alcavala of the Old Regime and the consumption of the nineteenth century.

There is another possibility of defining both types of taxation, taking into account legal considerations, according to which are direct taxes in which the taxpayer of inure (which the law designates as responsible for the income tax tribute), is the same Than the de facto taxpayer (who bears the tax burden), while at the same time he considers indirect taxes that present a translation of the tax burden of the de jure taxpayer to the de facto taxpayer. Although this translation can be presented in different ways (forward if it is transferred to customers, backward, if it is transferred to factors of production, lateral, if it is transferred to other companies), it should be considered, Purposes of this conception of indirect tax, only forward translation. This position is widely diffused, but it also has much discussed aspects, in the sense that it is very difficult to determine who really supports the tax burden and to what extent. However, this definition raises the most interesting discussions about the economic effects of taxes.

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