Simcountry is a multiplayer Internet game in which you are the president, commander in chief, and industrial leader. You have to make the tough decisions about cutting or raising taxes, how to allocate the federal budget, what kind of infrastructure you want, etc..
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Remove or Reduce Enterprise Tax

Topics: Suggestions: Remove or Reduce Enterprise Tax

Aries

Wednesday, January 23, 2013 - 03:31 pm Click here to edit this post
I don't understand the reason for this tax.

Some stats.

I have 375 corps.

They pay $164.95B or about $440M/corp to countries for country resources used.

Most of my corps are in C3s so I accept a 30% tax on profit which works out for me to be about $63B or about $169M/corp.

This totals about $228B or $608M/corp that I contribute to the host countries before I paid any salaries ($220.44B), bought any materials ($472.40B), or paid any fixed ($63.04B) or maintenance costs ($70.18B).

These costs total $1054.06B for my 375 corps or $2.81B/corp every month.

Obviously, I am omitting, for this example, other situational costs like loan interest and the most significant being upgrade costs which can add another $200M to $500M/corp.

All this I am OK with but then my enterprise is levied with what appears to be a success tax. I say this because I pay an amount that exceeds the amount of enterprises several times my size.

This totaled $40.86B the most recent month or an additional $109M levied/corp. That brings my tax burden, country taxes+country resource used+enterprise tax, to $269B or $717M/corp. The $269B is greater, significantly so, than the profits my corps generated for this month.

To be fair here, the country resource tax is levied before profit is figured meaning my corps still generated a post-tax profit though at a level at less than half presented as "Total Profit" on the enterprise finance page. Again, a significant portion of this can go to other costs particularly for upgrades.

I would ask that the enterprise tax be removed entirely. To my knowledge, the funds raised for this tax do not go anywhere. Further, The care it takes to successfully manage corps should be better rewarded as my observation is a far less amount of time could be invested in rinse and repeat raiding strategies for a far better return on time.

thanks for reading.

Scarlet

Thursday, January 24, 2013 - 06:12 am Click here to edit this post
Haha, yeah, the Enterprise Tax is pretty much a "success tax".

Even if it isn't eliminated, I see no reason why a smaller enterprise should be paying higher enterprise taxes. The game should punish large inefficient enterprises over small efficient ones... I'd be happy if it was purely based on number of corporations.

Samsin Valiga

Wednesday, February 6, 2013 - 03:48 am Click here to edit this post
what are you talking about? the tax? we shouldn't get rid of the tax...but maybe resources used....and lessen fixed property costs countries should be able to tax it adds another dimension and competitiveness to the game.....the country resources used should be scrapped and taxes should be given more options such as individual tax rates for specific corps or the option to collect taxes even with no profit being made etc etc

Scarlet

Wednesday, February 6, 2013 - 06:52 am Click here to edit this post
Enterprise tax is something completely different from country taxes on enterprise corporations.

Samsin Valiga

Wednesday, February 6, 2013 - 07:10 am Click here to edit this post
really? they sound the same just backwards..... what's the enterprise tax?

Aries

Wednesday, February 6, 2013 - 02:49 pm Click here to edit this post
I can't explain it in much more detail than the original post. The enterprise tax is levied directly on a profitable enterprise and is an expense beyond what you see spent on a corporation page.

Samsin Valiga

Wednesday, February 6, 2013 - 11:06 pm Click here to edit this post
I didn't even know that existed what does the gm take it for economic development fund or something

Crafty

Thursday, February 7, 2013 - 05:36 pm Click here to edit this post
He has to find the money somewhere to pay my retainer.

Arccuk

Thursday, February 7, 2013 - 07:39 pm Click here to edit this post
LOL!

But I have to agree, the enterprise tax, even though lowered a few updates back, should be lowered if it can't be eliminated. After all it is a financial adjustment that the GM's don't want to do. (and i'm greedy and don't want my hard earned to disappear!)

perhaps the threshold before any tax is payable should be raised to 200B. (i.e. an enterprise making 250B will only pay tax on the 50B over the threshold)
OR
Tax payable on the net profit instead of the Gross may work.

Aries

Thursday, February 7, 2013 - 08:33 pm Click here to edit this post
If the tax were to remain I agree with Scarlet. It should be structured in a way that it is not punishing the work that goes into making a successful enterprise. I would second the tax being applied based on number of corporations.

This would result in CEOs actually having to make smart decisions on company choice and whether to do something about a failing corporation. As is, you have to do little more than add corps and, if you are not very profitable, you can count on the enterprise tax to bring others down to you.

Stats of the day:

My Enterprise
Total Corps: 512
Enterprise Tax: $61.66B ($120.4M/corp)

Enterprise A
Total Corps: 701
Enterprise Tax: $39.17B ($55.9M/corp)

Enterprise B
Total Corps: 578
Enterprise Tax: $28.99B ($50.2M/corp)

Enterprise C
Total Corps: 1570
Enterprise Tax: $149.76B ($95.4M/corp)

SweetPea

Friday, February 8, 2013 - 04:19 am Click here to edit this post
I like the idea ArccUK

Laguna

Friday, February 8, 2013 - 07:58 am Click here to edit this post
Remove it.

Aries

Wednesday, October 9, 2013 - 10:44 pm Click here to edit this post
With recent game changes I think this issue is more relevant than ever. The additional problem I see is for a player with a country and a CEO paying an additional game tax if the player chooses to run a corp on their CEO rather than their country. Shouldn't the player have this ability without having to pay an additional game expense that goes nowhere?

XON Xyooj

Wednesday, October 9, 2013 - 11:01 pm Click here to edit this post
i prefer that these taxes be contractual agreements between the host country and the enterprise, say for 100 game years. just like most foreign corps do on earth for 99 years in the host countries.

it's just crazy that presidents can change/abuse the tax rate to whatever they want.

i want to be able to negotiate, such as i will pay 10% of gross revenues for resources use and 10% for corp profit tax. these two payments to be contract between the corps and the country. if the country is abandon then these go to the gm default rate of say 10% for resources use and 30% for corp profit tax. if the country is sold to another president, then the old contract terms still be binding unless both parties agree to renegotiate new contract terms.

the existing concept has too many holes. presidents already have enough power to abuse the mix up of the workers in the country, that is so very important to the ceo corp. need to create a fair-er concept.

Christos

Wednesday, October 9, 2013 - 11:15 pm Click here to edit this post
Aries suggestion makes now more sense than ever. Econ players have been punished enough by removing the option of manipulating costs through the ASQ feature. Most succesful enterprises have seen their profits halved overnight. Now's the time to kill this tax because it does no good to anyone. Not to CEOs, not to the countries. It just punishes succesful enterprises and rewards less succesful ones as Aries shrewdly pointed out in his original post.

Jack

Thursday, October 10, 2013 - 12:06 am Click here to edit this post
Aries and Chris are right on this. The enterprise tax should be revoked immediately.

XON Xyooj

Thursday, October 10, 2013 - 12:10 am Click here to edit this post
yes,

i'm 100% for no payment to use country resources and corp profit tax because i'm already providing jobs for the country's population.

i'm paying billions for these two, plus paying the workers awesome wages too.

let's terminate these useless features to the game :)

Aries

Thursday, October 10, 2013 - 12:33 am Click here to edit this post
xon, continue working on your reading comprehension on this. This has nothing to do with taxes paid to the country or the country resource tax. Please seek help from a vet before further comment on this.

XON Xyooj

Friday, October 11, 2013 - 12:21 pm Click here to edit this post
@aries,

i'll vote for paying zero tax :)

this enterprise tax goes to the gm?

must be good thing we don't have a country/empire tax then? :)

Casual Industries

Thursday, March 26, 2015 - 03:35 am Click here to edit this post
bump

Danzig

Tuesday, November 24, 2015 - 05:43 pm Click here to edit this post
yeah, this needs to go

Andy

Monday, October 9, 2017 - 05:09 pm Click here to edit this post
We will look into it and the general balance of enterprises finances.

Gaz

Wednesday, October 11, 2017 - 02:45 pm Click here to edit this post
Good to hear Andy. I started a ceo a 2 weeks ago and I built 10 corps to begin with. Haven't touched the ceo since and logging in today and I see I'm 700B in debt lol. From 10 corps? Something's not quite right there. Plus don't forget the 1T a ceo starts with. From 1T to 700B in debt in 2 weeks from only 10 corps. Why should I bother I say to myself.

Andy

Thursday, October 12, 2017 - 01:16 pm Click here to edit this post
The tax is minimal.
It has not caused any debt.
You can see the number on the enterprise cash page.

Check your corporations, upgrade them, and make them profitable.
If you do it right, then both
enterprises and countries too, are very profitable.

Khome

Thursday, October 12, 2017 - 03:43 pm Click here to edit this post
Gaz, did the coprs absorb the enterprise funds in a short amount of time?

ron1451

Wednesday, October 25, 2017 - 04:51 pm Click here to edit this post
Nope, ask the county owner to reduce the tax if that's what you want :). If not relocate the corporation to another county with lower tax

razormcgoo

Wednesday, January 31, 2018 - 04:53 am Click here to edit this post
What country resources does a corp use anyway? I've never understood that. They already buy a shitload of services. And the road/rails aren't just for them and should come under fixed property taxes.

Craig

Wednesday, July 6, 2022 - 08:55 am Click here to edit this post
Wow. I just read a game update. This change only took 9 years to implement.

Craig

Wednesday, July 6, 2022 - 08:59 am Click here to edit this post
Double post

Andy

Wednesday, July 6, 2022 - 07:06 pm Click here to edit this post
Haha,

You were not here to shout at us.

Lord Mndz

Wednesday, July 6, 2022 - 08:15 pm Click here to edit this post
Andy seems not to like CEO gamers too much and it takes time to prove what is obvious unfortunately

Andy

Friday, July 8, 2022 - 03:31 pm Click here to edit this post
I in fact love them.

And I keep saying, many times over a long period: enterprises make profits.

Lord Mndz

Friday, July 8, 2022 - 10:13 pm Click here to edit this post
Still waiting for updated finance page to see that :)


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