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Giuseppe Sole's BlogSee all entries in this blog
Taxes (21/10/2007 23:00)

Taxes:

Taxes are paid during the season change. Taxes are only paid for profit over 2 mill, according to following table.

2 mill profit: No tax on these 2 mill.
2-5 mill profit = 10% taxes            (300k)
5-10 mill profit = 20 % taxes         (1 mill)
10-20 mill profit = 30% taxes        (3 mill)
20-50 mill profit = 40% taxes        (12 mill)
Above 50 mill profit = 50% taxes

The way the taxes are calculated are the following:
With a profit at 60 mill you pay: Zero on the first 2 mill, 10% on the next 5 mill, 20% on the next 5 mill, 30% on the next 10 mill, 40% in the next 30 mill and since you got 10 mill over 50 you pay 50% of those 10 mill.
This would equal: 300k + 1 mill + 3 mill + 12 mill + 5 mill = 21.3 mill in taxes.

If you got 12 mill in profit you would get 300k + 1 mill + 600k (30% of the 2 mill over 10) = 1.9 mill

10 mill = 1,3 mill tax
20 mill = 4,3 mill tax
30 mill = 8,3 mill tax
40 mill = 12,3 mill tax
50 mill = 16,3 mill tax
60 mill = 21,3 mill tax
70 mill = 26,3 mill tax
80 mill = 31,3 mill tax
90 mill = 36,3 mill tax
100 mill = 41,3 mill tax

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