THE COSTS OF NON- PRODUCTIVE SERVICES AND SPECIFYING THE CHANGES OF THE METHOD OF CALCULATION OF BOTH TAXABLE AND NON-TAXABLE AMOUNTS

Abstract

In this paper, authors explore the changes made in calculation methods of the taxable and non-taxable costs of non-productive services, or a detailed regulation of a corporate income tax on earnings of persons sent to work abroad, as well as the ways of calculation of compensation costs and other employee benefits. A good organization and use of management principles can enhance the competitiveness of a company, reduce costs of productive and non-productive services, increase motivation and a lot of other things. The adopted legislation should represent the encouragement and stimulation of a development and not a burden and impediment for positive operations of large, medium and small enterprises. The legal framework should be stable, without frequent amendments, in order to enable economic operators to realize their business plans, achieve income and pay their necessary expenses. Reducing the costs of non-productive services, charges and other expenses will help the overall success of companies. Public expenditures should be monitored and corrected in those parts and functions which are considered to be unnecessary, i.e. categories of expenditure are important and not the height or limiting the scope.