Taxation in Guelphia

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Taxes in Guelphia are collected at a national level by the Inland Revenue Office on behalf of the Government of Guelphia. National taxes are levied on personal and business income, and on the supply of goods and services. There are no capital gains or inheritance taxes in Guelphia. Local property taxes (rates) are managed and collected by local authorities, as are the taxes that fund the work of the established church. Guelphia's corporate tax rate is 30%, with exemptions and incentives for smaller businesses.

Individual income tax

Types of taxable income

  • salary and wages
  • business and self-employed income
  • income from investments (interest, dividends, etc.)
  • rental income
  • overseas income (including income from an overseas pension)

Tax rates

Tax credits and deductions

Goods and Services Tax

The Goods and Services Tax is a broad-based value added tax levied on most goods and services that was introduced on 1 July 1993. Initially, the GST was set at a rate of 10% and came with a number of exemptions, including basic essentials such as fresh food and healthcare. Since 1 July 2005, the Goods and Services Tax has been levied at a rate of 12.5%, with most exemptions on the domestic economy having been abolished. Exemptions that do continue to exist include sales and leases of residential properties, donations, and financial services.

Community Charge

The Community Charge is the tax used to provide the majority of funding for the eight counties of Guelphia. The Charge exists in the form of a single flat-rate per-capita tax on every competent adult in the country. Each county is free to set their own rate of the charge and so as a result, the amount that each county levies for the Community Charge varies greatly. The lowest rate is currently levied by Fitzroyshire, who charge a rate of £28 8s 9d a year. Centralia presently levies the highest Community Charge in Guelphia at the rate of £52 3s 3d per year.

Municipal rates

Church rate

The Church rate is an additional property tax that is used to fund much of the work of the Anglican Church of Guelphia. The rate is levied as an additional component of 10% on top of the existing municipal land rates, which is levelled on most freehold and leasehold properties in Guelphia.

References and notes