| Friday, November 28, 2008 - 08:03 am |
I have made a mistake on the orders for the corps.How long will it take for the new corps to be destroyed?How many days?I started a new country because I have made some mistakes and I was only learning then.Also too if you don't mind answer this one,what's the benefit of haveing zero taxes?Doe's it have any effects on state corps,country controlled,ceo's and ceo controlled?If so,please give me a guide line.Thanks.Anthony.
| Friday, November 28, 2008 - 10:40 am |
If you made the wrong order for a corp you can cancel it, by going to your corporation list scrolling to the bottom of the page click on "details" for the wrong corp then there will be a "cancel corp" or something like that. The corp will not be built and it won't have cost you anything I think. If its already been built you can go into the corproation and close it down, the workers for that corproation will go on the dole next month. Having 0% tax ensures the maximum potential for corporate profits in that country, if the value of good a corporation sells is higher then its running costs it makes a profit, whatever your tax rate is will be the percentage of this profit that your country takes, the tax rate applies for ALL corporations in the country. There is also a profit share rate which is exactly like tax only it applies to the corporations the country owns only. Tax rates will decrease the growth in market value for corporations in your country because their growth will be less because some of their profits are taken, this isn't crippling to corporations but it will discourage private corporations (which bring much more revenue to your country then state corps (even with 0% tax!)).
If you set profit transfer and tax to 0% you will still gain profits from your state corporations eventually. This is because corporations have set cash level thresholds, once the corporation cash reaches this threshold it will start paying dividends (proportionate to the level of ownership, if you own 100% of the corporation (state corp) you will get 100% of the dividend). Until the cash is decreased below the threshold, which in then stops paying dividends. In other words you will still collect 100% of your state corporations profit with 0% taxes eventually, that advantage of this is the corproation will have large cash levels which can prevent the corproation from closing down or taking loans in bad times. Hope that helped.
| Friday, November 28, 2008 - 12:43 pm |
Thanks,it does makes sense now.zero taxes=more income.