#Energy Profits Levy
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indizombie ¡ 2 years ago
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The soaring cost of energy in the wake of Russia's invasion of Ukraine has delivered windfall gains to Qatar which this year expects to earn about $76 billion in tax from its energy exports. Qatar's budget surplus last year, buoyed by energy exports, was 45 times bigger than the previous year. The UK's energy exports last year delivered tax revenue that was nine times higher than the previous year, after the Conservative government introduced an Energy Profits Levy to compensate consumers as domestic power bills soared. Despite intense lobbying and continued opposition from the oil giants, the UK lifted its headline tax rate for oil and gas producers to 75 per cent, from 40 per cent. And still the companies delivered record profits to shareholders. The UK government expects to pull in an average of 8.6 billion pounds ($16 billion) over the next six years, compared with a yearly average of just 800 million pounds ($1.5 billion) in the six years to last June.
Ian Verrender, 'Why Australia lags behind the rest of the world in taxing oil and energy giants’, ABC
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eaglesnick ¡ 1 year ago
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Private Sector Good Public Sector Bad
According to textbook definitions,  the “private sector” it is that part of the economy that is owned and controlled by individuals and businesses rather than by government. As such, those individuals and businesses are entitled to pocket ALL profits made, minus taxes paid to government.
According to neoliberal economic theory, a theory much championed by Rishi Sunak and previous Conservative governments, this leads to cost effectiveness and maximised efficiency throughout the economy.
Jolly good! This is very much mainstream economic theory and has been ever since Margaret Thatcher was PM. But what Conservatives (and Labour) never do is follow through on their   economic beliefs! 
If those individuals and businesses in the private sector are entitled to ALL the profit they make, then it follows in my mind that they are also liable for any costs they incur. And it also follows that if they mess up, miscalculate or over-stretch themselves financially, then they should bare ALL of the costs of their own failures.
But that isn’t what happens. Remember the banking crisis? The greedy banks over-reached themselves, lending out too much money on bad assets. We the taxpayer had to bail them out. The last ten years of falling standards of living are in large part due to the Austerity policies introduced by Tory governments to help shore up the privately owned financial sector of the economy.
Nothing has changed. Yesterday, were heard the good news that household yearly energy costs will fall by approximately ÂŁ150. Whoopee! The bad news is that standing charges energy companies can impose will be allowed to rise and might wipe out the above savings.
Only two of the six big suppliers of energy to the UK are British owned. In 2020, these companies did very well for themselves.
“The UK’s ‘Big Six’ energy companies made over £3billion in profit in 2020."  (Big Issue: 04/02/22)
Hardly a struggling market you would of thought. Yet our Tory government is charging every one of us for those PRIVATE companies that failed in a business where it seems ridiculously easy to make huge profits.
“The secret £200 bill you’ll pay for failed energy firms” Telegraph: 09/0422)
Sunak repeatedly tells us that inflation is the main enemy of the economy yet he raised the standing charge by a massive 80% last year.
“Ofgem refuses to change ‘unjust’ standing charge policy, which has seen fees rocket as much as 80%"  (inews: 18/08/22)
And this year we have this
“Standing charges will rise again…"  (moneysavingexpert: 25/08/23)
The decision to raise standing charges can be laid at the door of government, as it is the government agency Ofgem that  “takes decisions on price controls and enforcement.”  As Martin Lewis rightly tells us,:
“The level of standing charges and unit rates, and the split between the two of them, is set by Ofgem.”  (moneysavingexpert: 04/07/23)
 And as usual in this topsy-turvy world of Tory economic policy it is perfectly acceptable for foreign firms to make huge profits from the British consumer, but not all right for them to take a hit when businesses fail.
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argumate ¡ 11 months ago
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Expert policy-makers in Western capitals feel that they have to make a response to major historic challenges like climate or the rise of China, or South Africa’s energy crisis. It is their job to look to the future and to devise at least purportedly rational strategies of power. But those who make policy on such matters as sustainable development do not hold the purse-strings and have limited capacity to shift budget-constraints. Those that do set budgets, either do not care about broader global issues, prefer other tools for affecting those goals - such as military power - or are revenue constrained and unwilling to levy more revenue from their constituents for the far-flung goals favored by the policy-making elite.
There is thus never “enough money” for the softer and more complex dimensions of development and global policy. But, despite these all too obvious limitations, the policy-machine grinds on. Faut de mieux those tasked with geoeconomic policy and sustainable development cooperate to come up with programs like JET-P. The policies tick all the boxes as far as sophistication of design and conception. Powerful interests - notably high-finance - ensure that they are arranged, at least notionally, so as to offer derisking and to promote the vision of public-private partnership. The promise of “mobilizing” private money helps to paper over the lack of solid public funding.
But despite all the self-interested engagement by private finance, the fiscal constraint remains paramount. The forces interested in global development are not as powerfully engaged as they are around the military-industrial complex, oil and gas or the Wall Street nexus. The result are ambitious and professionally designed policies that whip up waves of enthusiasm in the ranks of analysts, think tanks, NGOs, pundits, but which have no prospect of materially affecting reality either with regard to the announced policy objective or the profit opportunities of Western capital.
From experience since 2021 the conclusion we must surely draw is that the one interest that such policies undeniably serve is the perpetuation of the policy circuit. Practical effectiveness is not necessarily the main driver of policy-generation. Indeed, failure may be productive in generating new policy. This not only perpetuates the machinery of policy-making. More importantly it contributes to the generation of a “state effect” - the US has a policy for x,y,z. It sustains the common sense that the world is governed and that “governance” is in some sense a coherent process.
brutal
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mariacallous ¡ 3 months ago
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On a chilly spring morning in March, British coast guards spotted something unusual around 100 kilometers off the Scottish shoreline: a dark stain, stretching 23 kilometers into the North Atlantic Ocean.
According to an internal analysis prepared by the coast guard’s satellite services and seen by POLITICO, the likely source of that stain was Innova, a tanker roughly the size of the Eiffel Tower that at the time was hauling 1 million barrels of sanctioned oil from Russia on its way to a refinery in India.
Yet the coast guard did little to investigate further, and the tanker — free from any repercussion — continues to trade oil today, helping fill the Kremlin’s war chest more than two years into its full-scale invasion of Ukraine.
The Innova is just one of hundreds in the world’s so-called shadow fleet, a collection of often aging, poorly maintained ships sailing in defiance of Western sanctions — and spreading environmental harm without consequences. 
A joint investigation by POLITICO and the not-for-profit journalism group SourceMaterial found at least nine instances of covert shadow fleet vessels leaving spills in the world’s waters since 2021, using satellite images from the SkyTruth NGO paired with shipping data from market analysis firm Lloyd’s List and commodity platform Kpler.
Swedish Foreign Minister Maria Malmer Stenergard told POLITICO the ships posed a “significant danger” to the marine environment. “The incidents [here] illustrate this.”
It’s a problem that’s only grown worse following Russian President Vladimir Putin’s full-scale invasion of Ukraine. With Moscow under Western sanctions, an increasing number of tankers are ferrying illicit goods — and potential environmental devastation — across the globe. Not only are these vessels creaky and largely unregulated, they’re often uninsured, meaning that in case of a leak, or more serious spill, a government would struggle to hold them accountable. 
POLITICO and SourceMaterial identified discharges everywhere from Thailand to Vietnam to Italy and Mexico, all linked to the shadow fleet. The tankers also passed through busy shipping corridors like the Red Sea and the Panama Canal, meaning any serious accident could rupture international trade routes. 
Experts believe it’s only a matter of time before one of these ships suffers a catastrophe with major environmental — and economic — devastation.
“The oil spills and risk of slicks are horrendous,” said Isaac Levi, Europe-Russia lead and a shadow fleet expert at the Centre for Research on Energy and Clean Air (CREA), a think tank. “Beyond the environmental damage, some of which will be irreversible, it’s a huge impact to coastal states that have to bear the cost of cleaning this up.”
In short: “It’s a ticking time bomb,” Levi said.
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mezzopieno-news ¡ 11 months ago
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LE EMISSIONI DI CO2 AI MINIMI DA 60 ANNI NELL’UE
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Le emissioni di CO2 prodotte da combustibili fossili nell’UE nel 2023 hanno toccato il livello più basso degli ultimi 60 anni.
L’Unione Europea ha emesso l’8% in meno di anidride carbonica rispetto al 2022, spingendo i progressi nella riduzione delle emissioni climalteranti e registrando un’accelerazione. Più della metà del calo (56%) deriva da un mix di elettricità più pulito, con il continuo aumento della capacità eolica e solare, nonché un rimbalzo della disponibilità di energia idroelettrica e nucleare. Le emissioni di CO2 dell’UE derivanti dal carbone si sono dimezzate dal 2015 e hanno registrato una diminuzione del 25% rispetto all’anno precedente. Le emissioni legate al gas sono diminuite dell’11% e quelle di petrolio del 2%.
Secondo l’analisi del Centre for Research on Energy and Clean Air (Crea) “Le emissioni di CO 2 dell’UE sono finalmente tornate ai livelli riscontrabili nella generazione dei miei genitori negli anni ’60”, ha dichiarato Isaac Levi, analista di Crea. “Tuttavia, in questo periodo di tempo, l’economia è triplicata, dimostrando che il cambiamento climatico può essere combattuto senza rinunciare alla crescita economica”.
I dati del 2023 mostrano che L’UE ha costruito livelli record di pannelli solari e turbine eoliche ed è stata in grado di produrre più elettricità da dighe e centrali nucleari. I tagli in settori come l’industria – dove gli alti prezzi del gas hanno portato alcune aziende a diventare più efficienti e altre a produrre meno beni – e i trasporti hanno rappresentato un terzo delle riduzioni.
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Fonte: Centre for Research on Energy and Clean Air (Crea); foto di Jon
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libertineangel ¡ 9 months ago
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Hey remember how the UK has spent the last several years in the midst of a cost-of-living crisis as the working-class freeze & starve while supermarkets & energy companies rake in record billions in profits?
Well shit's about to get even worse!!!
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earhartsease ¡ 1 year ago
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the utter fucking gall
Campaigners criticised the move arguing that energy companies continue to rake in billions in profits, while many consumers are struggling with their bills.
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freenorthnow ¡ 1 year ago
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Oil companies have made record profits by overcharging energy providers. Now we're paying the price, the whole lot should be nationalised.
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oneminutemoneymagazine ¡ 2 years ago
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Pepsi Cola's New Recipe and the UK Sugar Tax
As background, the Soft Drinks Industry Levy (known generally as the Sugar Tax) is designed to persuade manufacturers to reduce the amount of sugar in carbonated drinks like Persi Cola. The aim is to reduce obesity in the UK population.
Critics often refer to the "nanny state" and "sin taxes". It is a fact that many people consume sugary products, especially drinks, to provide energy which is not available from artificial sweeteners. Also we don't all have a high weight problem and some of us actually need to increase our weight. Please go to https://www.gov.uk/government/news/soft-drinks-industry-levy-comes-into-effect for a full explanation of how the tax works. There are 1,000 ml in a litre, which is about 35 fluid ounces or 10% larger than two US pints.
Being high in sugar meant that Pepsi Cola attracted the highest rate of Sugar Tax at 48p per two litre bottle. They have just reduced the sugar content by 58% which brings them below the threshold. The sweetness is retained by replacing the lost sugar (a natural substance) by artificial compounds.
The Sugar Tax is no doubt well intentioned, but it is arguable whether replacing a natural ingredient with artificial ones is more healthy. People will disagree about the change in taste, but the forum I visited was very critical, e.g. "If I wanted something that tasted like Diet Pepsi, I'd buy Diet Pepsi!"
Finally, if you continue to buy regular Pepsi Cola, do keep an eye on the price. If it hasn't dropped by at least 24p per litre, someone is profiteering from the reformulation.
(02/07/2023)
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kemregik ¡ 2 months ago
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A basal argument, acting as structural description, for Anthropogenic Climate Change Accelerationism, or anthropoclicha/acc, or acc/acc.
Necessity is the mother of invention. This is a fundamentally true axiom of human history. Whenever persons, communities, tribes, nations, the species is faced with an existential threat, the gift Evolution unthinkingly bestowed upon us activates to its highest potential and we think our way out of it.
Humans are iterative in nature; we build on everything our ancestors built, and every generation that successfully passes their additions down guarantees the next will exceed the benchmark set by the last. This is the force that drives us at increasing speed towards the mythical singularity of fellows like Nick Land (of whom I was not aware, formally, until I had this thought and decided it would be good to check if anyone had beaten me to this punch and I realized he was at the top of any discussion about accelerationism in general because he invented it, apparently) and the occasional Posadist. This iterative process can be, well, accelerated. Human history is uncountably littered with instances of deadly crisis creating salvific technolgical, scientific, and societal innovations. There is little argument to be made against the notion that humans are primarily loss-averse, and so, best motivated by those external forces that stress us maximally.
Allow me now, from this axiomatic foundation, to present a conclusion for your consideration as a validly constructed political position (and not as a directive I believe ought to be carried out) : the only reason we have not solved the issue of Anthropogenic Climate Change is because it is not yet an existential threat to the species, and the only way to generate the solution to Anthropogenic Climate Change is to worsen it until it becomes an existential threat to the species.
From the point of view of an acc/acc, by contributing to the degradation or instability of Earth's climate, you are forwarding the cause of climate science more effectively. You are generating the very stimulus required to create the solution, because no amount of public or private funding to a research institution will create innovation if there is no motivator towards research. Capital-S Science does not just throw shit at a wall to see what sticks, it focuses energy on solving problems and answering questions; from most urgent to least urgent. If your focus, ethically, is the promotion of scientific advancement, you by definition want scientists to be working towards a goal, and if you want a particular goal to be worked on, you need to give people a reason to work on it. The best reasons are threats. The best threats are those that levy the highest stakes.
What higher a stake than the fate of the species?
Note that this is NOT climate denial. The acc/acc here has fully admitted that Anthropogenic Climate Change is a real problem, a problem we are making worse by the day, but not bad enough for a critical mass of people to care enough to want to fix it yesterday.
At this point, one could say Enter Ancap and take the position that unrestrained capitalism is the most effective means of creating the climate crisis necessary to fix climate change, but I don't think this is necessary. There are statist answers to this challenge; I can imagine Mexico taking its nationalized petroleum industry and using legislation to force it to be as eco-hostile as possible, then taking the profits and dumping them into climate research institutions. There is no mandatory economic component to this ideology: so long as you make the damage bad enough, the scientific community will produce technology to reverse the effects of the damage you're doing, how you arrive at this point is ideologically inconsequential.
There is no mandatory utopian component here either, to be clear. The acc/acc doesn't need to believe that fixing the climate will bring about some sort of ideal human society in order to want to fix the climate, but I suspect that the primary motivator, ethically speaking, for any genuine acc/accs will be this belief.
I am terrified to think that in the near future, this sort of applied doomerism might become politically feasible to hold unironically. There are enough scientifically literate revolutionaries (I use that word very loosely here) hanging out in polcompball-flavored coffee shops—I think the kids call them "Discord servers"—for this to catch on eventually given the general distrust in academia and the scientific community at large in the current era, so I will not be surprised when banners reading "tree-huggers for deforestation" start showing up in Lafayette Park.
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poonamcmi ¡ 4 months ago
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The Rapid Rise of Europe Fast Fashion first emerged in Europe in the 1990s as clothing retailers started
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The Birth of Fast Fashion Fast fashion first emerged in Europe in the 1990s as clothing retailers started noticing consumers' desire for more affordable and on-trend pieces. Retail giants like H&M, Zara, and Topshop pioneered the fast fashion model by slashing production cycles and getting new designs from the runway to stores in just a few weeks. They were able to achieve this speed through vertically-integrated supply chains, large scale manufacturing, and data-driven demand forecasting. Fast fashion allowed mainstream consumers to participate in short-lived fashion trends without breaking the bank. Retailers were able to turn inventory over much more quickly and boost profit margins. By the 2000s, fast fashion had completely disrupted the traditional clothing industry and become the dominant retail model across Europe fast fashion .
Fueling Rapid Consumption Europe Fast Fashion is based around constant newness and encouraging high consumption volumes. Retailers release new collections almost weekly to give shoppers a reason to return to stores frequently. Pieces are designed to be worn a few times before being replaced. Affordability is key so consumers can build whole new wardrobes several times a year. ing heavily features celebrity endorsements and runway trends at low prices. This has compelled customers, especially younger generations, to view clothing as disposable. Rental and resale s have also boomed as people tire of pieces more quickly. Fast fashion has supersized the clothing industry but also contributed to overconsumption. The average consumer now buys 60% more clothing items but keeps them half as long compared to 15 years ago. A Mounting Environmental Toll The rapid pace of fast fashion has come at enormous environmental cost. The textile industry is one of the most polluting globally due to excessive water, chemical, and energy usage at each stage of the supply chain. Synthetic fabrics like polyester are resource-intensive to produce yet end up in landfills. Greenhouse gas emissions from clothing have risen significantly due to surging demand. An estimated 92 million tons of textile waste is produced annually but less than 1% is recycled into new materials. Dump sites in developing countries have been inundated with cast-off clothes from Western consumers. Dyeing and finishing processes also contaminate waterways with harmful chemicals. There are also serious human impacts as many fast fashion factories have poor working conditions and pay unlivable wages. The breakneck speed of production exacerbates these societal and ecological problems. Regulations and Initiatives for Reform In response to mounting sustainability concerns, policymakers in Europe fast fashion  have introduced various regulations on the fashion industry. Legislation like the EU Green Deal aims to mandate greater circularity, reduce waste, and promote eco-friendly materials by 2030. France banned destroying unsold stock while Italy levied a tax on landfill disposal of textiles. Retailers are pushing for extended producer responsibility schemes to finance take-back and recycling programs. Meanwhile, a growing number of sustainability-focused startups are partnering with brands. Technologies like solvent-free dyeing, waterless manufacturing, and garment-to-garment recycling aim to green transformation from within. Some major fast fashion companies have also pledged commitments to reduce environmental impact, increase sourcing transparency, and empower factory workers. While these are positive steps, bolder systemic changes are still needed given the fast fashion business model's inherent unsustainability. Looking ahead, the future of Europe fast fashion  remains uncertain. In the short-term, demand is rebounding strongly after COVID-19 disruptions buoyed sales. But long-term projections show declining appetite for disposable trends among younger and more values-driven consumers concerned about waste and exploitation. Resale platforms are gaining popularity as an alternative that supports extended use. Increasing regulation and public pressure may compel brands to shift strategies or face stiff penalties. Those able to transition to genuinely sustainable, circular systems will be better positioned for longevity. Others must adapt or potentially fall behind. Innovation in areas like digital manufacturing customization, rental platforms, and technology-enabled traceability are revealing new paths for industry transformation. While fast fashion currently dominates the , its dominance may be limited if it cannot align with mounting expectations for responsible production and consumption.
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eaglesnick ¡ 1 year ago
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“It seems the most logical thing in the world to believe that the natural resources of the Earth, upon which the race depends for food, clothing and shelter, should be owned collectively by the race instead of being the private property of a few social parasites.
— Ralph Chaplin
While more and more homes in Britain suffer severe flooding because of climate change, Rishi Sunak has decided that North Sea oil and gas extraction should be speeded up.
“Hundreds of new North Sea oil and gas licences to boost British energy independence and grow the economy. ”  (GOV.UK: 31/07/23)
This policy has now been confirmed and will be included in the king’s speech. More concerned with winning votes than the catastrophic effects of climate change:
“Sunak has already watered down the government’s climate targets, pushing back the deadline for selling new petrol and diesel cars and the phasing out of gas boilers, prompting furious condemnation from the automobile and energy industries.” (Guardian:05/11/23)
The excuse used by Sunak to justify his planned increase in fossil fuel production  is "to reduce emissions and boost UK energy independence."
These claims are simply not true.
Encouraging more oil and gas production does not reduce emissions - it increases them. If you expand the global market for fossil fuels then more will be used with the obvious accompanying increase in emissions. What is more, Rystad Energy, an independent advisory and business intelligence company, has stated that:
“ UK oil rigs are among the highest carbon emitters in Europe. CO2 emissions released into the atmosphere from extracting North Sea oil and gas reached 13.1MM metric tonnes in the UK in 2019, or 21kg of carbon dioxide for every barrel of oil produced – far greater than the Norwegian North Sea, which produced 4MM metric tonnes of CO2 in 2019, or 8kg of CO2 a barrel.”  (Guardian: 13/10/22)
But let us put this evidence aside for the moment and give Sunak the benefit of the doubt regarding emissions, and look at his other claim that increase extraction of gas and oil from the North Sea will “boost UK energy dependency".
Again, simply not true. It was reported only a few weeks ago that the UK EXPORTS 80% of North Sea oil which is processed abroad and then sold back to us at whatever international price makes the oil and gas industries the most profit. (CNN Business: 27/09/23)
The only way to secure energy independence is to have state ownership of our natural assets. But that is not The Tory way.
Unlike the Norwegian government, who invested their countries enormous oil and gas revenues in economic sectors across the world, creating a State owned sovereign wealth fund now worth $1.2 trillion in assets, our Tory government squandered the money, continues to allow private investors to reap the profits, and have refused to create a UK Sovereign Wealth Fund because they are ideologically opposed to public ownership.
While Sunak is forced to sell licenses for oil and gas extraction in order to secure at least some  benefits from our natural resources, the Norwegians impose  a 78% tax levy on private oil and gas companies.
“UK should match Norway’s 78% North Sea oil and gas tax, thinktank says.” (guardian:28/10/22)
But that isn’t going to happen. Instead, our ideologically driven Tory government, opposed to taxes of any kind and especially those aimed at the rich and corporate world continue to draw  headlines like these.
“Shell and BP paid zero tax on North Sea gas and oil for three years.” (Guardian: 30/10/22)
and
“North Sea oil and gas industry offered ‘get-out’ clause on windfall tax.”(Guardian:09/06/23)
The stark contrast between the way successive Tory Government’s in the UK have managed the “bonanza” of North Seal oil and gas and the way the more socialist Norwegian governments have utilised their natural resources couldn’t be more stark.
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sa7abnews ¡ 5 months ago
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In a world reminiscent of chaotic '70s, 'Reagan' offers timely vision of hope, leadership
New Post has been published on https://sa7ab.info/2024/08/16/in-a-world-reminiscent-of-chaotic-70s-reagan-offers-timely-vision-of-hope-leadership/
In a world reminiscent of chaotic '70s, 'Reagan' offers timely vision of hope, leadership
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Out-of-control inflation, high energy prices, trouble in Eastern Europe, and a feckless foreign policy that results in Iran threatening Israel and our interests around the globe.What has transpired in the last few years is eerily reminiscent of the problems the United States faced in the 1970s. Then, as now, America was looking for leadership in the face of a series of weak chief executives. Then, out of the West rode Ronald Reagan, a two-term California governor, a conservative who was pilloried even by members of his own party as a warmonger and Neanderthal who supposedly didn’t understand the modern world. What he did understand, however, was that big government had gotten out of hand and that government wasn’t the answer to our problems — too often it was the problem. America wasn’t weak; we had just lost the will to build and project our strength. THE ONE CHARACTERISTIC OF REAGAN AND TRUMP THAT SETS THEM APART FROM OTHER PRESIDENTSReagan taught us that peace didn’t come to our shores when we are weak; peace comes about when we are so strong that our enemies won’t even try to get adventurous. He also knew that a strong economy was a key to the strength of our nation and continued peace in the world. I was a young CPA in the late ’70s and a Democrat like my mother. I was doing income tax returns for investors paying taxes in the 70% bracket. They were doing all sorts of investing in tax shelters to avoid this confiscatory levy. They invested very conservatively otherwise, failing to take risks when the profits from risk taking went disproportionately to the government. Keeping only 30% after taxes wasn’t enough of a reward to take a chance on a new technology or other innovation. It was Ronald Reagan and his policies that brought me and other Democrats to the Republican Party. I RAN THE PENTAGON UNDER TRUMP AND WE NEED TO FIGHT LIKE REAGANReagan changed that calculus of high tax rates and stifling regulation. He worked with Democrats like House Speaker Tip O’Neill, an old-time Massachusetts Democrat with very different views of government’s role, to reduce tax rates to 28% in a grand bargain. Eliminate tax shelters the rich used to avoid taxes in exchange for a very low marginal tax rate that would encourage investors to take risk. The result? The U.S. came back stronger and we powered ahead of the world in the next 40 years with all manner of new technologies and innovations. At the same time, Reagan pushed for a massive expansion of our armed forces and armaments, touching off a battle of spending with the old USSR that bankrupted them and led to freedom for millions in Eastern Europe. CLICK HERE FOR MORE FOX NEWS OPINIONWe’re in danger of forgetting this story, but a movie is debuting this month, “Reagan,” that will bring these facts to a new generation that needs to re-learn the essential principles the 40th president lived by. As its star Dennis Quaid often says, it’s not a boring history lesson, (that’s not what cinema is for) but first and foremost, an entertaining story about a man who, despite many failures, overcomes long odds. Somebody who has seen it described it as Forrest Gump meets Rocky and I agree with that description. I’ve played golf a few times with the film’s star, Dennis Quaid, and though if you blink you’ll miss it, I even have a small part in the movie, playing Chief Justice Warren Burger, a proud Minnesotan who swore Reagan in for his first term. But what I’m especially proud of is leading an effort to bring this film to the next generation. It’s my hope to provide a free ticket to any student through my nonprofit organization, Friends of the Reagan Film (FORM). If you agree with me that the next generation needs to know about Ronald Reagan and experience this amazing story, please visit our website, reaganmoviefriends.org. Reagan himself often warned us that the United States is only one generation away from losing its freedom. It’s up to all of us to renew our great legacy of small government and a strong national defense which supports freedom at home and around the world. My hope – and I trust yours – is that the Reagan film will rekindle in our young people that belief in America and these first principles. CLICK HERE TO READ MORE FROM JOHN COX
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mariacallous ¡ 8 months ago
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At the end of 2022, Dmitry Medvedev—Russia’s former prime minister and the current deputy chairman of its Security Council—offered his predictions for the coming year. He warned that Europeans would suffer badly from Russia’s decision to curb natural gas exports to the European Union, suggesting that gas prices would jump to $5,000 per thousand cubic meters in 2023—around 50 times their prewar average. He probably assumed that that sky-high prices would translate into a windfall for Russian state-owned energy company Gazprom, which was still supplying several European countries via pipeline, ramping up exports of liquefied natural gas, and eyeing new deals with China. Perhaps Medvedev also hoped that Europeans would beg the Kremlin to send the gas flowing again.
It turns out that Medvedev might want to polish his crystal ball: Last year, European gas prices averaged a mere one-tenth of his number. And just this month, Gazprom posted a massive $6.8 billion loss for 2023, the first since 1999.
Gazprom’s losses demonstrate the extent to which the Kremlin’s decision to turn off the gas tap to Europe in 2022 has backfired. In 2023, European Union imports of Russian gas were at their lowest level since the early 1970s, with Russian supplies making up only 8 percent of EU gas imports, down from 40 percent in 2021. This has translated into vertiginous losses for Gazprom, with the firm’s revenues from foreign sales plunging by two-thirds in 2023.
Gazprom’s woes are very likely setting off alarm bells in Moscow: With no good options for the company to revive flagging gas sales, its losses could weigh on Russia’s ability to finance the war in Ukraine. This is especially ironic given the fact that EU sanctions do not target Russian gas exports; the damage to the Kremlin and its war effort is entirely self-inflicted.
The most immediate impact of Gazprom’s losses will be on Russian government revenues, a crucial metric to gauge Moscow’s ability to sustain its war against Ukraine. Poring over Gazprom’s latest financials paints a striking picture. Excluding dividends, Gazprom transferred at least $40 billion into Russian state coffers in 2022, either to the general government budget or the National Welfare Fund (NWF), Moscow’s sovereign wealth fund.
This is no small feat. Until last year, Gazprom alone provided about 10 percent of Russian federal budget revenues through customs and excise duties as well as profit taxes. (Oil receipts usually account for an additional 30 percent of budget revenues.) This flood of money now looks like distant history. In 2023, the company’s contribution to state coffers through customs and excise duties was slashed by four-fifths, and like many money-losing firms, it is due a tax refund from the Russian treasury.
For Moscow, this is bad news on several fronts. Because of rising military expenses, the country’s fiscal balance swung into deficit when Moscow invaded Ukraine. To help plug the gap, the Kremlin ordered Gazprom to pay a $500 million monthly levy to the state until 2025. Now that the company is posting losses, it is unclear how it will be able to afford this transfer. In addition, Gazprom’s contribution to the NWF will probably have to shrink. For the Kremlin, this could not come at a worst time: The NWF’s liquid holdings have already dropped by nearly $60 billion, around half of its prewar total, as Moscow drains its rainy-day fund to finance the war. Finally, Gazprom’s woes could prompt the firm to shrink its planned investments in gas fields and pipelines—a decision that would, in turn, hit Russian GDP growth.
As if this was not enough, a closer look at Gazprom’s newly released financials suggests that the worst may be yet to come, with three telltale signs that 2024 could be even more difficult than 2023.
First, Gazprom’s accounts receivable—a measure of money due to be paid by customers—are in free fall, suggesting that the firm’s revenue inflow is drying up. Second, accounts payable shot up by around 50 percent in 2023, hinting that Gazprom is struggling to pay its own bills to various suppliers. Finally, short-term borrowing nearly doubled last year as Russian state-owned banks were enlisted to support the former gas giant.
Whereas these figures come from Gazprom’s English-language financials, the company’s latest Russian-language update yields two additional surprises—both of which show that the firm’s situation has worsened even further since the beginning of the year.
First, short-term borrowing during the first three months of 2024 roughly doubled compared to the previous quarter. If Russian state-owned banks continue to cover Gazprom’s losses, the Russian financial sector could soon find itself in trouble. This begs a tricky question: With the NWF’s reserves dwindling and Moscow’s access to international capital markets shut down, who would pay a bailout bill? Second, Gazprom’s losses were almost five times greater in the first quarter of 2024 than in the same period of 2023, hinting that the firm may post an even bigger loss this year than it did in 2023.
Looking ahead, 2025 will be an especially tough year for Gazprom. The transit deal that protects gas shipments through Ukraine via pipeline to Austria, Hungary, and Slovakia will probably expire at the end of this year, further curbing what’s left of Gazprom’s exports to Europe. A quick glance at a map makes it clear that China is now the only remaining option for Russian pipeline gas.
Yet Beijing is not that interested: Last year, it bought just 23 billion cubic meters of Russian gas, a mere fraction of the 180 billion cubic meters that Moscow used to ship to Europe. Negotiations to build the Power of Siberia 2 pipeline, which would boost gas shipments to China, have stalled. And in truth, China is not a like-for-like replacement for Gazprom’s lost European consumers. Beijing pays 20 percent less for Russian gas than the remaining EU customers, and the gap is predicted to widen to 28 percent through 2027.
Without pipelines, raising exports of liquefied natural gas (LNG) is the only remaining option for Moscow. However, Western policies make this easier said than done. Western export controls curb Russia’s access to the complex machinery needed to develop LNG terminals, such as equipment to chill the gas to negative160 degrees Celsius so that it can be shipped on specialized vessels. And Washington has recently imposed sanctions on a Singapore-based firm and two ships working on a Russian LNG project, signaling that it will similarly designate any entity willing to work in the sector. Finally, U.S. sanctions make it much harder for Russian firms to finance the development of new liquefaction facilities and the gas field designed to supply them. In December, Japanese firm Mitsui announced that it was pulling staff and reviewing options for its participation to Russia’s flagship Arctic LNG 2 project. As a result, the Russian operator announced last month that it was suspending operations of the project, which was originally slated to launch LNG shipments early this year.
Gazprom’s cheesy corporate slogan—“Dreams come true!”—does not ring so true anymore as Moscow’s former cash cow becomes a loss-making drain. Data from the International Energy Agency confirms the extent of the Kremlin’s miscalculation when it turned off the gas tap to Europe: The agency predicts that Russia’s share of global gas exports will fall to 15 percent by 2030—down from 30 percent before Moscow’s full-blown invasion of Ukraine.
This was probably predictable. It is hard to imagine how a gas exporter configured to serve European customers and reliant on Western technology could thrive after refusing to serve its main client—signaling to every other potential customer, including China, that it is an unreliable supplier. Corporate empires tend to rise and fall, and it looks like Gazprom will be no exception to the rule.
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geraldduthie ¡ 5 months ago
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Corporate taxes may be a vast burden for agencies, impacting profitability and growth. However, with the proper techniques, groups can navigate the complicated tax panorama and reap tremendous financial savings. This blog post explores key techniques for reducing corporate tax liability, ensuring compliance, and maximizing monetary efficiency.
Understanding Corporate Tax Basics
Corporate tax is a levy positioned on the earnings of a company, with expenses in various nations and regions. It's critical for corporations to apprehend their tax duties and closing dates to keep away from results. The company tax rate can have an effect on choices on investment, growth, and everyday business strategy. Therefore, having comprehensive information about corporation tax laws and rules is the first step in the direction of powerful tax planning. Gerald Duthie Accounting LLC emphasizes the significance of these elements in making certain organizations properly prepared for tax season.
1. Utilize tax deductions and credits.
One of the only ways to lessen corporate tax liability is by taking advantage of tax deductions and credits. Deductions reduce taxable income, while credits directly reduce the amount of tax owed. Common deductions consist of enterprise charges like salaries, leases, utilities, and office materials. Tax credits might be available for research and improvement (R&D), renewable energy investments, and hiring veterans or other targeted groups.
2. Optimize Your Business Structure
Choosing the proper enterprise structure will have massive tax implications. For example, companies, limited legal responsibility businesses (LLCs), partnerships, and sole proprietorships are taxed in another way. Incorporating as an S-organization or an LLC might also provide tax blessings by allowing earnings to be exceeded via the owners' private tax returns, fending off double taxation on corporate profits. Consult with a tax consultant to determine the maximum tax-green shape for your business.
3. Leverage depreciation
Depreciation lets corporations deduct the value of tangible property from their beneficial lives. By accelerating depreciation, agencies can reduce taxable profits more quickly. The Tax Cuts and Jobs Act (TCJA) introduced bonus depreciation, which lets groups without delay deduct a full-size percent of the value of qualifying belongings. Ensure you are taking full advantage of depreciation methods to lower your tax burden.
4. Implement Retirement Plans
Contributing to employee retirement plans, which include 401(k)s or Simplified Employee Pension (SEP) IRAs, can offer tax benefits. Employer contributions to those plans are tax-deductible, decreasing typical taxable earnings. Additionally, supplying retirement plans can help entice and preserve top talent, further benefiting your enterprise.
5. Take advantage of state and local tax incentives.
Many states and local governments offer tax incentives to attract and retain corporations. These incentives might include tax credits, presents, or reduced belonging taxes. Research incentives to be had in your location and remember how they may be incorporated into your overall tax method. Relocating or expanding to areas with favorable tax treatment can result in substantial savings.
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6. Engage in strategic tax planning.
Proactive tax-making plans for the duration of the year, rather than just at tax time, can uncover possibilities for savings. Regularly review monetary statements and paintings with a tax expert to become aware of capacity tax-saving techniques. This may consist of timing earnings and prices to take advantage of favorable tax legal guidelines, deferring income, or accelerating deductions.
7. Stay informed on tax law changes.
Tax laws are continually evolving, and staying knowledgeable about the changes permits you to alter your tax approach accordingly. Significant tax reforms, along with the TCJA, can introduce new opportunities for savings or require changes to current practices. Subscribe to enterprise guides, attend tax seminars, and keep in touch with an informed tax marketing consultant to stay updated.
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Conclusion
Navigating corporate taxes requires an intensive knowledge of tax legal guidelines, proactive planning, and strategic choice-making. By utilizing available deductions and credits, optimizing enterprise structures, leveraging depreciation, imposing retirement plans, and staying informed on tax law modifications, groups can notably lessen their tax liability. Engaging with tax experts guarantees compliance and enables you to discover possibilities for savings, ultimately improving profitability and increasing Implement these techniques to navigate the complicated company tax panorama and acquire massive savings on your commercial enterprise.
About Gerald Duthie Accounting LLC:
At Gerald Duthie Accounting LLC, we are a full-carrier accounting and control consulting company committed to helping you achieve your goals. We consider the value of relationships and consider each patron's dating as a partnership. With over 40 years of experience providing warranty, tax, financial planning, and consulting services to diverse industries, which include automobile, retail, manufacturing, construction, and fitness, our success is an immediate result of your success. Our international presence, with workplaces in Windsor, Toronto, Michigan, New Delhi, and Dubai, allows us to provide tailored offerings to satisfy the precise needs of our international patron base.
Services Offered:
ACCOUNTING SERVICES
TAX SERVICES
MANAGEMENT CONSULTING SERVICES
Contact Us:
+971 (50) 695-1806
Address : Suite #78, Floor 11, Ibn Battuta Gate Office Building, Jebel Ali, Dubai
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waynejay ¡ 6 months ago
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K E Wee & Associates - Everything You Should Know About Company Taxation
Company taxation is a core component of a country's fiscal policy. Additionally, it significantly impacts the financial health of enterprises and the rate of economic expansion. Business owners, particularly, must comprehend the basic ideas and precepts underpinning corporation taxation to guarantee their business compliance.
Explore corporate taxation's fundamental ideas and concepts, illuminating its complexities and ramifications.
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6 Key Concepts in Company Taxation
1. Scope of Company Taxation
Company taxation encompasses levying taxes on the profits earned by corporations or business entities. It is a primary source of revenue for governments worldwide, enabling them to finance public services and infrastructure. The scope of company taxation varies across jurisdictions but generally includes income generated from business activities, capital gains, and other related sources. The tax rates and regulations governing company taxation undergo revisions to align with economic objectives and fiscal policies.
2. Taxable Income and Deductions
The determination of taxable income forms the foundation of company taxation. Taxable income refers to the portion of a corporation's earnings subject to taxation after accounting for allowable deductions and exemptions. Common deductions include expenses incurred in business operations, depreciation of assets, interest payments on loans, and charitable contributions. Understanding the eligibility criteria and limitations associated with deductions is necessary for corporations to optimise their tax liabilities legally.
3. Tax Rates and Structures
Corporation tax rates vary significantly across jurisdictions, influenced by economic conditions, political considerations, and international competitiveness. Governments may adopt progressive, flat, or regressive tax structures to collect revenue from corporations. Progressive tax systems impose higher tax rates on larger profits, aiming for a fair distribution of tax burden. Conversely, flat tax systems apply a uniform tax rate to all corporate incomes, simplifying tax administration but potentially exacerbating income inequality. Regressive tax structures, although less common, impose higher tax rates on smaller profits, disproportionately affecting small businesses.
ALSO READ: Types of Business Entities in Singapore
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4. Tax Credits and Incentives
Tax credits and incentives are necessary for company taxation, encouraging desirable behaviour and stimulating economic growth. Governments often offer tax credits for specific activities such as research and development, job creation, renewable energy investments, and export promotion. These incentives aim to spur innovation, boost employment, and enhance competitiveness in global markets. Understanding the eligibility criteria and compliance requirements for tax credits enables corporations to leverage available incentives effectively.
5. International Taxation and Transfer Pricing
International taxation presents unique challenges and opportunities for corporations operating across borders. Transfer pricing, the pricing of goods and services exchanged between related entities in different tax jurisdictions, is a prime consideration in international taxation. Governments implement transfer pricing regulations to prevent profit shifting and ensure that transactions between related parties are conducted at arm's length. Double taxation treaties and agreements govern the taxation of multinational corporations, aiming to minimise tax conflicts and promote cross-border trade and investment.
6. Compliance and Reporting Obligations
Compliance with company taxation laws and regulations is essential for corporations to avoid penalties, audits, and legal disputes. Corporations must maintain accurate financial records, file tax returns, and adhere to reporting obligations stipulated by tax authorities. Failure to comply with taxation requirements can result in fines, interest charges, and reputational damage. Adopting robust tax compliance processes and engaging qualified tax professionals can help corporations navigate the complexities of company taxation and mitigate compliance risks effectively.
Conclusion
Understanding the complexities of company taxation is necessary for businesses to effectively manage their tax obligations and navigate the regulatory landscape. Companies can enhance their tax planning strategies, minimise risks, and support long-term economic growth by mastering key concepts such as taxable income, deductions, tax rates, and international taxation.
Visit K E Wee & Associates, and don't let tax compliance issues weigh down your business growth.
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