What is' global taxation '?

Many countries worldwide have implemented global tax models. In addition to China, there are also "global taxation" countries in the world: the United States, Britain, Canada, Australia, New Zealand, Spain, Greece, Portugal, France, Germany, Italy, Türkiye, Malta, Russia, Japan and South Korea.

The definitions of "Tax residence" and "non Tax residence" are of great significance for global taxation. The definition of "Tax residence" means that if he has resided in the country for 183 days (more than half a year), the global taxation member country will automatically recognize him as a Tax residence of the country, which has nothing to do with whether he has permanent residence or nationality of the country.

The main difference between Tax residence and general taxpayers is that Tax residence need to report all income globally, while general taxpayers only need to report and pay taxes on local production profits. Tax residence reporting global income may pay taxes in many countries, but they will eventually be summarized in their tax jurisdictions. For example, in Italy, the taxes paid by Tax residence in other countries can be used as a credit for local tax relief.

World Wide Taxation Principle and Common Reporting Standard

CRS (Common Reporting Standard), also known as the "Global Tax Reporting System", is a guideline used to guide participating jurisdictions in the regular exchange of financial account information for tax residents. It aims to enhance tax transparency by strengthening global tax cooperation and combat the use of cross-border financial accounts for tax evasion. Simply put, it requires signatory countries to disclose to each other the economic and property situation of their citizens in their respective countries, in order to enhance tax transparency and combat cross-border tax evasion. Currently, 142 countries and regions have committed to implementing CRS.

The 'World Wide Taxation Principle' refers to the principle that no matter where you receive income or reside, your income must be taxed. In addition to global income taxation, foreign activities are also required to be reported. Those who have assets, bank accounts, income or business activities outside their country of residence must have reporting and reporting obligations.

Basic requirements for accounting and auditing in Italy

All companies and their partnerships are required to properly keep accounting books and records, and to organize all original materials sent and received. These accounting materials must be kept for at least ten years. Accounting records can be directly kept by the company in the office or deposited with a third party.

According to the characteristics of the company and the operating income declared by the company in the previous year, there are mainly two mandatory accounting systems applicable to this, namely: ordinary accounting system and simplified accounting system (suitable for small companies with simple organizational structures)

Keep accounting books and records in accordance with the relevant regulations and tax regulations of the Italian Civil code. Accounting books can also be saved in electronic form.

The joint stock company shall prepare its annual financial report within thirty (30) days after the shareholder's consent

The characteristics of the accounting system in the UK

The accounting model in the UK includes two major schools. One is the independent audit model, where an audit team is responsible for auditing financial statements and providing independent opinions on them; The other school is the combination of independent audit and independent audit, where one independent audit company audits the financial statements of the enterprise, while the other independent audit company considers the openness of the balance sheet and the accuracy of financial data, and makes decisions on whether the balance sheet is open or not.

The UK also places great emphasis on the development of various accounting standards, such as IFRS, FRS, CA, etc., to ensure comparability of accounting information among companies.

Accounting System and Regulation in the UK

The institutional and regulatory framework in the UK is mainly managed by multiple institutions, including the Ministry of Finance, the Institute of Certified Public Accountants, and the Financial Conduct Authority. The main content includes:

-Enterprises adopt generally accepted accounting standards to prepare their financial statements;

-The Ministry of Finance has established the UK Accounting Standards Office, which is responsible for setting and revising accounting standards, and publishes the latest version on its official website;

-The UK Institute of Certified Public Accountants is responsible for the certification and supervision of auditors' qualifications;

-The Financial Conduct Authority imposes requirements on companies' financial disclosure regulations and audit standards.