Read paying attention to the different meaning of the following terms

10. Read paying attention to the different meaning of the following terms.

administration around (ten) blue-chip investments call loan checking account claim letter collect on delivery common stock corporation law to fix a meeting government bonds in good shape investment bank law business local taxes	government in power about (ten) first-class investments short-term loan current account letter of complaint cash on delivery ordinary share company law to arrange a meeting government securities in good condition merchant bank practice (law) rates
to operate a business	to run a business
operating costs	running expenses
preferred stock	preference share
president	chairman
right away	immediately
shipment	consignment
stockholder	shareholder
tag	label
tender	offer
way back	some time ago

11. Translate English jokes:

Brother: Are you really going to marry that young man Jones? He is said to be kind and very clever. But isn't he a bit strange? At any rate he is unlike other young men.

Sister: I am going to marry Jones, and I don't find anything strange about him. And then if he is indeed unlike other young men, he is likely to make a very good husband.

12. Read the text and retell it in Russian:

Canada

Canada, a federated country in North America, made up of ten provinces and two (soon to be three) territories. Canada is a vast nation with a wide variety of geological formations, climates, and ecological systems. It has rain forest, prairie grassland, deciduous forest, tundra, and wetlands. Canada has more lakes and inland waters than any other country. It is renowned for its scenery, which attracts millions of tourists each year. On a per-capita basis, its resource endowments are the second richest in the world after Australia.

Canada is the second largest country in the world but has about the same population as the state of California, which is one-25th its size. This is because the north of Canada, with its harsh Arctic and sub-Arctic climates, is sparsely inhabited. Most Canadians live in the southern part of the country. More than three-quarters of them live in metropolitan areas, the largest of which are Toronto, Montreal, Vancouver, Ottawa-Hull, and Edmonton. French and English are the official languages, and at one time most Canadians were of French or English descent.

Canada has impressive reserves of timber, minerals, and fresh water, and many of its industries are based on these resources. Many of its rivers have been harnessed for hydroelectric power, and it is self-sufficient in fossil fuel. Transportation equipment is the leading manufacturing industry. While Canada’s prosperity is built on the resource and manufacturing industries, most Canadians work in service occupations, including transportation, trade, finance, personal services, and government.

Canada is a parliamentary democracy, and the federal, provincial, and territorial legislatures are all elected. However, Canada’s sovereign is a monarch, the queen of England, who is also the monarch of Great Britain. The queen is represented in Canada by the governor-general and ten lieutenant governors. Canada’s constitution guarantees equality under the law to all of its citizens. Powers of the federal and provincial governments are spelled out separately under the constitution, but over the past 50 years they have increasingly cooperated in programs that provide a wide range of social services-often called the «welfare state»-to the public.

Modern Canada was formed in an event that Canadians call Confederation, in 1867, when three colonies of Great Britain merged to create a partially independent state of four provinces. Since then, six more provinces and two territories have been added, with a third territory scheduled to come into existence in 1999. Canada achieved full independence in 1931 but continues to belong to the Commonwealth of Nations, a voluntary association of countries with ties to Great Britain

Unit 14

Grammar: 1. Условные предложения (Conditional Sentences).

2. Бессоюзные условные предложения.

 

I. Language Practice

1. Practise the fluent reading and correct intonation:

- Mr. Smith, `are you `here, in `London, on va`cation or on `business?

- It's a `kind of `business trip.

- Please `tell me a `few `words about your `business.

- Well, I'm in `charge of the `advertising de`partment of the `British `branch of a big multi`national corpo`ration.

- `What does your `firm pro`duce?

- Oh, a `lot of e`quipment. We pro`duce `all `sorts of `radio e`quipment, TV sets, `video ca`ssette re`corders, com`puters and so on.

- In `what `countries does this corpo`ration main`tain its plants?

- We have `branches in France, `West `Germany, `Holland, `Italy and Spain.

- `Has your `company a big `staff?

- I'm not `sure I don't know the e`xact `number. A`round `six `thousand emplo`yees in `all the `branches, I think.

2. Listen to the speaker; read and memorize the following words and phrases:

1. to encourage [in`kri®] - поддерживать, поощрять

2. taxation - налогообложение

3. merits - достоинство

4. taxpayer - налогоплательщик

5. discretionary income - дискреционный доход (часть чистого дохода потребителя, предназначенная для расходов по собственному усмотрению после обязательных расходов на налоги и на удовлетворение жизненных потребностей)

6. tax incidence - распределение налогового бремени

7. tax-shifting - переложение налогов

 

Text. Taxes, Taxes, Taxes....

"But in this world nothing can be said to be certain, except death and taxes."-Benjamin Franklin, 1789.

Few economic topics excite controversy more easily than taxes. While most would agree that neither government nor modern society could survive without them, taxes are more likely to be criticized than praised. But as Benjamin Franklin noted long ago they are a ' certainty, and for that reason we ought to know something about them.

Why Do Governments Collect Taxes? Although the principal purpose of taxes is to pay for the cost of government, it is not the only function taxes serve.

Sometimes taxes are levied to protect selected industries.

Taxes have also been used to discourage activities the government believes to be harmful. For example, taxes on cigarettes and liquor, so called "sin taxes," have been levied both to raise money and to discourage people from smoking and drinking.

Taxes have been used to encourage certain activities. In the 1980's, for example, the government wanted to encourage business to modernize plants and increase productivity. It did so, in part, by offering to reduce the taxes of firms that purchased new machinery and equipment.

The federal government can use its ability to tax to regulate the level of economic activity. The size of the economy is directly related to consumer and business spending. By increasing or decreasing taxes, government can directly affect the amount of money available to be spent.

·Evaluating Taxes. Most people would agree that some taxation is necessary, but the question of which taxes, and in what amounts, can lead to considerable disagreement.

The benefits-received principle of taxation states that those who benefit from a government program are the ones who ought to pay for it.

The ability-to-pay principle states that taxes ought to be paid by those who can best afford them, regardless of the benefits they receive. In arguing in favor of the ability-to-pay principle, economists often cite Engel's Law. This principle states that as income increases, the proportion spent on luxuries increases, while that spent on necessities decreases. It follows that taxing higher-income groups may deny them certain luxuries, but taxing the poor reduces their ability to buy necessities.

Also, some benefits are indirect. If Mr. and Mrs. Jones have children in the public school, they can see the direct benefit of their school taxes. But Mr. and Mrs. Smith may feel they get no benefit from the school because they have no children.

We all benefit from having an educated workforce, however. Thanks to education, the nation's productivity is higher, and we can all share in the additional output that results from it. If the Smiths own a business, they benefit from having workers who have been trained to read, write and solve mathematical problems.

Most taxes can be classified as progressive, proportional or regressive. A progressive tax takes a larger percentage of a higher income and a smaller percentage of a lower income. The federal income tax is the best known example of a progressive tax.

A proportional tax takes the same percentage of all incomes, regardless of size.

A regressive tax is one that takes a higher percentage of a low income and a lower percentage of a high income. Although they are not based on a person's income, sales taxes have a regressive effect because they take a larger share of earnings from a low-income taxpayer than from a high-income taxpayer.

Which tax is the fairest? Few would argue that a regressive tax is fair. Those who favor the ability-to-pay principle would support a progressive tax, and possibly the proportional tax. There are some, however, who argue that the proportional tax is not fair.

The proportional tax seems to be fair because everyone pays the same rate. In analyzing the impact of taxes on individuals, economists often concentrate on discretionary income-the amount that a person has left after buying necessities (food, clothing, shelter, medical care, transportation, etc).

In evaluating a tax it is important to know who will really have to pay it, or, as economists put it, the incidence of the tax. The burden of paying a tax can be avoided if the one responsible for writing the check for taxes to the government can pass the cost on to someone else. The process of passing the burden to someone else is known as tax-shifting. Taxes may be passed on to consumers, in which case they are said to be shifted forward. Similarly, taxes may be shifted backward as when suppliers or the workers who produced the products are forced to assume the burden.

II. Exercises on the Text:

3. Give Russian equivalents to:

nothing can be said to be certain; neither government nor modern society; they are a certainty; we ought to know; to pay for the cost of government; to protect selected industries; to discourage harmful activities; to encourage certain activities; the merits of one tax to another; benefits-received principle; ability-to-pay principle; educated workforce; a larger percentage; sales taxes; the burden of paying a tax.

4. Complete as in the text and translate into Russian:

1. Few economic topics excite controversy ... 2. The Federal government can use its ability to tax ... 3. By increasing or decreasing taxes, government can directly affect ... 4. The benefits-received principle of taxation states that those who benefit from a government program are the ones ... 5. The ability-to-pay principle states that taxes ought to be paid by those who can best afford them, ... 6. If Mr. And Mrs. Jones have children in the public school, they can see ...

5. Analyze the scheme and describe the circulation flow of the American Economy.

 

The Circular Flow of the American Economy Among Government, Consumer Households and Business Firms.

6. Think and answer the following questions:

1. What are the principal taxes you and your family pay? 2. Add the sales taxes, property taxes, value added taxes, and other together to determine what percentage of your family's income is actually spent in taxes.

 

III. Grammar Exercises

Условные предложения (Conditional Sentences)

Тип предложения	Придаточное условное предложение	Главное предложение
I тип	Present Simple	Future Simple
Реальное условие. Изъявительное наклонение	If he comes, If he should come, Should he come, Åñëè он ïðèäåò,	ü ý he will help us. þ он ïîìîæåò нам.
II тип	Past Simple	should, wouldü could, might ý+ V  þ
Маловероятное или нереальное условие, относящееся к настоящему или будущему времени. Сослагательное наклонение.	If he came, If he should come, Should he come, Åñëè бы он ïðèшел, If he were here, Were he here, Åñëè áû он áûë здесь,	ü ý he would help us. þ он ïîìîã áû нам. ü ý he would help us. þ он ïîìîã áû нам.
III тип	Past Perfect	should, wouldü could, might ý+have+  V3  þ
Нереальное или невыполнимое условие, относящееся к прошедшему времени. Сослагательное наклонение.	If he had come, Had he come,   Åñëè бы он ïðèшел,	ü ý he would have  helped us. þ он ïîìîã áû нам.

7. Make up as many sentences as you can using the given table:

If I had a holiday If he|I were ill If the weather were fine today If there were your mother's birthday today If I were you If they didn't have to go to the Institute If you were tired If she|I had free time If you had much money

I (we) should (would) they (she, he)

see the doctor travel round the world have a rest buy a present go for a walk stay at home go to the seaside help read many interesting books

8. Translate the following sentences:

1. Steven Jobs reasoned that if computers were made easier to use and less expensive, the public would buy them. 2. If you wanted to buy or sell corporate securities, you would probably call upon the services of a local brokerage firm. 3. If the corporation prospers over the years, its stocks will increase in value. 4. If the population were to grow at a faster rate than production, average living standards would fall. 5. If the public prefers to buy now and save later, less will be available for investment. 6.If a firm sought to muximize its losses, it would be unable to pay its bills. 7.If a country consumes everything that it produces, the ability of that country to produce in the future will remain unchanged. 8. If, however, something is set aside out of current production, it could be used as capital to produce more in the future.

9. Read the text and retell it in Russian:

A Balance Sheet on Russian Taxes

Taxes, in any country other than a limited number of tax haven jurisdictions, are viewed universally as a burden. Russia is no exception. OF course, a tax system that imposes a 35 percent individual tax rate and a 35 percent corporate rate (with even higher rates for certain types of businesses) will never be praised by its taxpayers. Moreover, with frequent changes and a set of tax rules different from those in the United States, Russian tax laws are viewed with great apprehension by most Americans and other foreigners doing business in Russia. Russian tax rules certainly have major drawbacks.

Other problems with Russian taxes include too many types of taxes, both on the federal and on the local level. This multitude of taxes not only makes compliance difficult, but also makes it challenging to keep current with changes and amendments. Add to the confusion presidential decrees which append taxes onto existing law or modifying existing laws, as well as the wide variety of taxes that may be enacted at the local level. Additionally, there are five different payroll taxes on top of the individual income tax that must be withheld by employers from wages paid to employees.

Russia will never be a tax haven, nor have American and other foreign businesses come to Russia with that expectation. Rather, companies doing business in Russia have come here because they feel that Russia presents certain market opportunities.

In criticizing Russia's tax rules and tax administration, we should not forget that Russia is a relatively new tax jurisdiction. Russian tax laws (as with all other laws in Russia) are in a process of evolution. The same is true of the governmental bodies enforcing the tax laws.

As a step to facilitate the obtaining of double-tax treaty relief, the Russian tax authorities have issued new dual language (English/Russian) forms. The new forms for claiming double-tax treaty relief from tax withholding can be completed in either Russian or English. This development has made it easier for foreign companies, at least from English-speaking jurisdictions, to obtain certification of taxpayer status from their home jurisdictions in order to claim treaty relief in Russia.

On May 8, 1996 President Yeltsin signed a decree making additional improvements in Russian tax rules. The decree reduces late payment penalties from 0.7 percent per day to 0.3 percent per day. Other provisions in the decree provide for more rapid periods for depreciation of capital assets (to be effective January 1, 1997) and much broader rules for the deductibility of business expenses (also to be effective January 1, 1997).

Complaints about the Russian tax system, just like complaints about the American tax system, will never go away. However, over the past year there have been many positive development in Russian tax laws and regulations. More important, at both the government and legislative levels in Russia, there appears to be growing recognition that tax rules should be changed so as not to stifle economic activity. Although the tax situation in Russia is far from ideal, there is a genuine basis for hope for improvement.

10. Read and translate paying attention to the suffixes:

-let [lit]; -sure, zure []

circle - circlet (кружочек)

book - booklet (книжечка, брошюра)

leaf - leaflet (листок, листовка)

pleasure, exposure, measure, seizure.

11. Arrange in groups the words with the same prefix:

Independence, unfriendly, disbelieve, unknown, dislike, immaterial, unproductive, incomplete, unequal, illegal, impossible, irregular, untrue, inactive, irreplaceable, misunderstanding, illiterate, mispronunciation.