Exercise 6.5 Which is right?

1. The tax system must reflect….

a) the state policy;

b) the economic development of the country;

c) the relations between people;

d) the rate of currency exchange.

2. Key principles of building tax system were determined by…

a) the President’s decrees;

b) the Parliament’s laws;

c) the Government’s resolutions;

d) the Prime Minister’s proposal.

3. Taxes, charges and duties in Ukraine are divided into…

a) regional and national;

b) state and local;

c) general and specified;

d) global and regional.

4. Exercise duty is levied on …

a) bread and salt;

b) luxury products;

c) fruit and vegetables;

d) tobacco and strong beverages.

5. The corporate income tax is determined as …

a) profits received from economic activities;

b) total revenue from realization of goods;

c) insurance reserves;

d) gross income less the amount of gross expenses and depreciation.

Exercise 6.6 Are the following statements true or false? Correct the false ones.

1. The state tax system does not depend on the external and internal policy of the state.

a)True; b) False

2.The government needs taxes to regulate the economy of the state and maintain its stability.

a)True; b) False

3.Ukrainian tax system is provided by direct and indirect taxes.

a)True; b) False

4.There are state and local taxes in Ukraine.

a)True; b) False

5.Value-added tax and excise duty are examples of local taxes.

a)True; b) False

6.Excise duty is levied on consumer commodities, which are not basic goods and have high profitability.

a)True; b)False

7.All oil products are levied by excise.

a)True; b) False

8.Taxation can be an important instrument in solving ecological problems.

a)True; b) False