To me the brutal thing is the recursive nature of the VAT. Your company builds a gizmo. They sell the gizmo, they pay vat on the gizmo, they distribute some of the profits as salary, you pay vat on the outputs.
In comparison in Paraguay (where I moved to), you can actually discount the VAT from your taxes, as an individual, automatically. I end up paying less than 10% taxes, all things considered.
p
To me the brutal thing is the recursive nature of the VAT. Your company builds a gizmo. They sell the gizmo, they pay vat on the gizmo, they distribute some of the profits as salary, you pay vat on the outputs.
In comparison in Paraguay (where I moved to), you can actually discount the VAT from your taxes, as an individual, automatically. I end up paying less than 10% taxes, all things considered.
More options
Context Copy link