Chapter 679: This is how the game is played
During his confinement to the outside world, Memnon was well aware of what was happening in the outside world, and the command did not let him go out, but it did not say that he would not read the newspaper, and he could also make phone calls to the outside world in an environment where there was recording and listening. After all, Memnon is also a mayor and the leader of the Forward Party, and he still has some important work to deal with, and no matter how impersonal the command is, these things will still give him a little convenience.
So what is going on out there, Memnon is very clear, and very clear.
He knew that the West Mine Club was finished, and he knew that if the people of the West Mine Club were really finished, these bastards would definitely drag themselves into the water. In the special environment of the western region, many forces have cooperative relations and hostilities with each other, but it is not so easy to make it clear.
Take the most typical example of Memnon and the West Mining Association, if Memnon dies, the executive committee of the Western Mining Society may hold a grand celebration to celebrate Memnon's end, and this bastard has made many policies that make the executive committee of the Western Mining Association and the mine owners very unhappy.
For example, as long as the minimum salary, the minimum job system and other things can make them unhappy, Memnon is very happy to do, and the West Mining Association has also found some trouble for Memnon, but this does not mean that there is no cooperative relationship between the two sides. As long as both parties can cooperate with each other's satisfaction, they are still willing to try to hold hands once to seek the benefits they want, and tax is a very important part of this.
Why does the West Mining Association have to firmly grasp the pricing power of the Western Mining Association in the western mining field, even if they do not give in to Memnon and other large mining group companies?
In fact, there are some things that are not clear to outsiders, but Memnon knows it, and he is also one of the participants, and the problem is taxation.
How do you turn a 10 million income into 5 million and then reduce taxes from 3.5 million to just over 1 million?
This involves a floating indicator - price.
West Mining Association with their own more than ten years of operating strength and strength firmly grasp the pricing power of western ore resources, to the outside they claim that this is the guide price, at the same time they will tell everyone that this is the final selling price of this year, no matter who buys is not allowed to have any price fluctuations, even if the two sides of the trade are the relationship between the executive committee of the West Mining Association, and then in this case the price will not fluctuate, except for some favors outside the line of trading.
This seems to restrict the free trade of the market, making the entire mining resources market lifeless and uncompetitive, and there should be many mine owners who are very dissatisfied with this practice of the West Mining Association, and even take the initiative to leave the West Mining Association.
Iron ore only costs more than a dozen yuan a ton outside, but the quotation from the West Mining Association is forty yuan a ton. This kind of fucked monopoly will cause many miners to suffer huge profit losses...... , but not really.
In fact, there is another thing in this that constantly seduces the mine owners to continue to follow the ass of the West Mining Association, and they are happy to do it.
This is a very complex economic ecosystem, and to put it simply, West Mining will help almost all mine owners save a lot of taxes by firmly controlling the price of mining resources. For example, this year, the price of copper ore is rising rapidly, from 145 yuan last year to 220 yuan per ton, but the price set by the West Mining Association has not changed from last year, only an increase of 5 yuan, 150 yuan per ton.
But at the same time, bauxite has plummeted from 62 yuan last year to 10 yuan this year due to the discovery of the huge vein in Yagur Mountain, but the price of bauxite in the West Mining Association is only two dollars less than last year, and remains at the price of 60 yuan per tonne.
Presumably, only a fool would use the so-called guide price to buy premium bauxite from the west, instead of choosing to import bauxite with transportation costs of less than 35 yuan per ton, but there are indeed such fools, because this is the trick of the West Mining Association to monopolize the mining in the west and win over all the mine owners.
When a customer traded under the supervision of the West Mining Association at the normal market price, he bought 10,000 tons of copper ore for 2.2 million yuan, but what was listed in the contract was that he only purchased 4,000 tons of copper ore worth 600,000 yuan, and also bought some resources with very low tax rates but much higher than the market price, such as bauxite. In the end, the total amount on the contract must be made up to 2.2 million, and then the supply and demand sides completed the transaction under the witness of the West Mining Association.
At the end of the year, when they began to file taxes, they would file 2.2 million separate tax returns, and the empire had a certain degree of tax reduction and dividend policy for resources that were in great demand for development and construction - this article needs to be explained separately, each state of the empire has its own laws, and as long as it can ensure that the constitution and basic laws are also added to the content of state laws, the empire will recognize the legitimacy of state laws. The specific data on tax issues does not exceed the upper and lower limits set by the Imperial Tax Administration, which will generally give the approval of the Imperial Tax Administration.
After the operation of the West Mining Association, the enterprises that have a demand for ore can buy the full amount of copper ore they need at the normal price of the market, saving a lot of time and transportation costs of imported freighters, and also have enough friendship with Mennon, they do not have any loss in terms of substantial benefits, in addition to which they will have another additional income.
Conversely, for the miners, they might have to pay the tax rate of 35 percent of the 2.2 million non-ferrous metal copper ore traded, but in fact in all the documents, the mine owner only sold 600,000 copper ore, and the 770,000 yuan tax that was originally required to be paid now only needs to pay 210,000 yuan. On the other hand, Memnon formulated that bauxite is conducive to the development and progress of social construction or find some other reason, and listed bauxite as a special resource that has a positive role in promoting social development, and reduced the tax rate by 25 percent, and only levied 10 percent.
The mine owner needs to pay a low-price tax of 160,000 yuan for the sale of bauxite, plus the previous 210,000 yuan, for a total of 370,000 yuan, which is 400,000 yuan less than the normal tax to be paid.
Of course, the extra bauxite on the other side also needs to be accounted for, and they have to pay at least about 25,000 tons of bauxite for this transaction, and the accounting cost is 250,000 yuan, and the mine owner actually saves 150,000 yuan in taxes.
But can this alone make the mine owners follow the West Mining Association with all their hearts?
No, no, it's not over yet.
For example, if the owner of the bauxite supply is unable to fulfill his contractual promise to pay enough bauxite, the owner is willing to pay liquidated damages and "refund" the bauxite to the company that purchased it. They will follow the procedures set out in the contract to close the transaction in accordance with the legal requirements. But the money will not really return to the hands of the demand side, the money will return to the mine owner's pocket after a turn in the West Mining Association, of course, the liquidated damages will be paid, after all, people play such a game, there must be a little expression, isn't it?
Therefore, the tax generated by the sale of bauxite can be refunded for 160,000 yuan, and the mine owner will eventually get back 110,000 yuan. Fifty thousand, plus the previous two hundred and twenty-one thousand in taxes, they saved five hundred and fifty thousand in this transaction!
The actual tax paid is only one-tenth of the sales, and the savings are very tempting for all mine owners.
As for why things are so complicated, it is because the tax office itself is vertically managed, not under the management of the town hall and the state government, they are only accountable to the Reich General Tax Administration. These people will be present at any big deal, and in order to fool them, 6,000 tons of copper ore are mixed with the first batch of 25,000 tons of bauxite, in order to minimize the risk of tax evasion and get things out.
In this way, the four parties were able to obtain huge benefits, the mine owners saved 510,000 yuan in taxes, the West Mining Association once again consolidated its dominance in the west, and by the way, it also took tens of thousands of yuan in handling fees, and the enterprises that purchased ore could have an additional income of tens of thousands of yuan after purchasing qualified and sufficient things at the market price, and each of these three parties obtained more profits than normal trade.
So what did Memnon gain?
He won the friendship and favor of the capitalists, and this is the reason why he was able to get the support of the vast majority of the capitalists in the west and the capitalists outside the west. If there is no peasant gate, the capitalists from outside want to buy ore at market prices? It is better to spend more money directly to import ore from abroad to save time, and perhaps the price of ore after it is obtained is much cheaper than buying it from the west, and this is when the indicator can be used.
The indicator is to tell those merchants who don't plan to play according to this game system that you can buy it at the guide price, but each person can only buy three or five tons or thirty or fifty tons, and if you want more, wait until next year!
With the cooperation and restraint of many parties, these seemingly enemy guys were able to get the tax money back into their pockets from the tax coffers, and everyone benefited from it.
If anyone loses money, it may only be the imperial tax system, and the tax of 770,000 has become 210,000, which is a lot of losses!
It was precisely because Memnon was also involved in the game and played a very special role that he was even more afraid that the executive committee members of the Western Mining Association would be arrested. Once they are tortured, they may be able to say what they should and should not say at any time, and this is a huge scandal, a huge scandal that can affect Memnon's government, so he must come up with all means to solve this crisis.
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