IMPACT OF VAT ON THE PROFITABILITY AND THE CASH FLOW OF ROMANIAN SMALL AND MEDIUM ENTREPRISES

The options available to taxpayers make tax systems attractive and give them an opportunity to choose one system or another after a careful analysis of the fiscal advantages and disadvantages of each choice. A small or medium company has to explore the options available, whether that is VAT registra...

Full description

Saved in:
Bibliographic Details
Main Authors: Maria Zenovia GRIGORE, Mariana GURĂU
Format: Article
Language:English
Published: Nicolae Titulescu University Publishing House 2014-05-01
Series:Challenges of the Knowledge Society
Subjects:
Online Access:http://cks.univnt.ro/uploads/cks_2014_articles/index.php?dir=07_finance_accounting%2F&download=CKS+2014_finance_accounting_art.069.pdf
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1846146466893004800
author Maria Zenovia GRIGORE
Mariana GURĂU
author_facet Maria Zenovia GRIGORE
Mariana GURĂU
author_sort Maria Zenovia GRIGORE
collection DOAJ
description The options available to taxpayers make tax systems attractive and give them an opportunity to choose one system or another after a careful analysis of the fiscal advantages and disadvantages of each choice. A small or medium company has to explore the options available, whether that is VAT registration or de-registration or choosing the best VAT special scheme. VAT optimisation is particularly interesting because of the high cash flow involved and because of the cash flow benefits that can be obtained. This paper presents an analysis of VAT costs and their impact on profitability and cash flow of small and medium enterprises. We also analysed specific mechanisms to improve profitability and cash flow through VAT optimisation.
format Article
id doaj-art-a6a25afec9324abab0c79e87d5559b03
institution Kabale University
issn 2068-7796
2068-7796
language English
publishDate 2014-05-01
publisher Nicolae Titulescu University Publishing House
record_format Article
series Challenges of the Knowledge Society
spelling doaj-art-a6a25afec9324abab0c79e87d5559b032024-12-02T03:18:37ZengNicolae Titulescu University Publishing HouseChallenges of the Knowledge Society2068-77962068-77962014-05-0141654663IMPACT OF VAT ON THE PROFITABILITY AND THE CASH FLOW OF ROMANIAN SMALL AND MEDIUM ENTREPRISESMaria Zenovia GRIGORE0Mariana GURĂU1Associate Professor, PhD, Faculty of Economic Studies, “Nicolae Titulescu” University, Bucharest (e-mail: mgrigore@univnt.ro).Lecturer, PhD, Faculty of Economic Studies, “Nicolae Titulescu” University, Bucharest (e-mail: marianagurau@univnt.ro).The options available to taxpayers make tax systems attractive and give them an opportunity to choose one system or another after a careful analysis of the fiscal advantages and disadvantages of each choice. A small or medium company has to explore the options available, whether that is VAT registration or de-registration or choosing the best VAT special scheme. VAT optimisation is particularly interesting because of the high cash flow involved and because of the cash flow benefits that can be obtained. This paper presents an analysis of VAT costs and their impact on profitability and cash flow of small and medium enterprises. We also analysed specific mechanisms to improve profitability and cash flow through VAT optimisation.http://cks.univnt.ro/uploads/cks_2014_articles/index.php?dir=07_finance_accounting%2F&download=CKS+2014_finance_accounting_art.069.pdfVAT optimizationspecial VAT schemesthe compliance costsprofitabilitycash flow.
spellingShingle Maria Zenovia GRIGORE
Mariana GURĂU
IMPACT OF VAT ON THE PROFITABILITY AND THE CASH FLOW OF ROMANIAN SMALL AND MEDIUM ENTREPRISES
Challenges of the Knowledge Society
VAT optimization
special VAT schemes
the compliance costs
profitability
cash flow.
title IMPACT OF VAT ON THE PROFITABILITY AND THE CASH FLOW OF ROMANIAN SMALL AND MEDIUM ENTREPRISES
title_full IMPACT OF VAT ON THE PROFITABILITY AND THE CASH FLOW OF ROMANIAN SMALL AND MEDIUM ENTREPRISES
title_fullStr IMPACT OF VAT ON THE PROFITABILITY AND THE CASH FLOW OF ROMANIAN SMALL AND MEDIUM ENTREPRISES
title_full_unstemmed IMPACT OF VAT ON THE PROFITABILITY AND THE CASH FLOW OF ROMANIAN SMALL AND MEDIUM ENTREPRISES
title_short IMPACT OF VAT ON THE PROFITABILITY AND THE CASH FLOW OF ROMANIAN SMALL AND MEDIUM ENTREPRISES
title_sort impact of vat on the profitability and the cash flow of romanian small and medium entreprises
topic VAT optimization
special VAT schemes
the compliance costs
profitability
cash flow.
url http://cks.univnt.ro/uploads/cks_2014_articles/index.php?dir=07_finance_accounting%2F&download=CKS+2014_finance_accounting_art.069.pdf
work_keys_str_mv AT mariazenoviagrigore impactofvatontheprofitabilityandthecashflowofromaniansmallandmediumentreprises
AT marianagurau impactofvatontheprofitabilityandthecashflowofromaniansmallandmediumentreprises