The Enterprise Tax Act, 643

The Enterprise Tax Act, 643

An act to fund public programs and other necessary government expenditure through a levy on the profits of general enterprise.
PASSED 26 July 2022 with 14 Aye, 4 Nay, 2 Abstain.
AMENDED 16 April 2023 by the Taxation Revision Resolution.
AMENDED 16 September 2023 by the Business Relief Resolution, 658.

Article 1 - The Corporation Tax

1.1 - Enacts a flat levy upon all gross operating profits of an organisation or commercial enterprise with sales with the Kodiak Republic.

1.2 - The Corporation Tax Rate shall be set at 25% of total reported gross profitable revenue.

Article 2 - The Capital Gains Tax

2.1 - Enacts a flat levy upon the net physical or financial capital income of an individual, organisation, or enterprise.

2.2 - Permits a one-to-one deduction of capital losses to present capital gains if such capital losses were accrued within the previous three financial years.

2.3 - The Capital Gains Tax Rate shall be set at 25% of total reported capital gains after deductions.

Article 3 - Diverted Profits Tax

3.1 - Creates a tax levied on estimates regarding large, multinational companies profits earned in this country, regardless of their actual reporting.

3.2 - The Kodiak Revenue Directorate (KRD) is responsible for creating estimates on these companies and enforcing them with respect to the corporation tax.