Accountants in Islamabad

 The value-added tax, also known as VAT, is a form of indirect tax that is levied on taxable goods and services for the value added at each stage of the production or distribution cycle, beginning with the purchase of raw materials and continuing all the way through to the purchase of the finished product at retail. On April 1, 2005, the VAT was first implemented. In accordance with it, the amount of value addition that occurs at each stage is first determined, and then tax is imposed on the same amount. When purchasing items, the final consumer is ultimately responsible for paying the entire VAT; customers who participate in earlier phases of manufacturing are eligible for refunds of the tax that they have already paid. VAT is considered a consumption tax as well due to the fact that the whole tax burden is borne by the consumer. Taxation on a state-by-state basis Each state has its own laws governing the application and collection of taxes on a state-by-state basis. According to ...

 In the context of a company, "income" refers to the net profit, or the amount that is left over after deducting operating expenditures and taxes from revenue. The entire amount of money that an organisation earns through the sale of its goods and services to consumers is referred to as its revenue. However, in the context of persons, "income" typically refers to the sum of all earnings, salaries, tips, rentals, interest, and dividends earned over the course of a certain time period. Income = Revenue − Expenses The term "profit margin" refers to the situation in which income is expressed as a proportion of total revenue. Example Consider starting a firm that manufactures shirts. The corporation makes a profit of $10 per shirt off of the one million shirts that are sold to retailers in 2011. Therefore, the total revenue for the company is ten million dollars. The operation of the business results in the firm incurring a variety of expenditures, such as the ...