Share
HIGH RETAINED EARNINGS TO SAVE FROM DOUBLE TAXATION

HIGH RETAINED EARNINGS TO SAVE FROM DOUBLE TAXATION

There has been sensed an increasing tendency of retained earnings (portion of profits left after distribution of shareholders dividend) in majority of Albanian SMEs enterprises which currently occupy 53.4% of turnover among other size enterprises. Focusing only on its perks it serves on fostering financial position and leaves space for development and innovation.

In contrary this trend is a bypass of double taxation of Albanian fiscal policy that goes 15% to financial statements and 15% tax on income distribution for dividend shares. Reported by UNCTAD “Tax Payment” indicator varies between very poor and poor rating by 1.7 according to owners and managers. This has caused misleading market values due to over capitalization.

ADS  

Leave a Comment