Tributary Evaluation of Deductible Expenses to pay Value-Added Tax (VAT). La Union hace la fuerza (ASNOUNF) Association of Food Service, Cleaning, and Courier

Abstract

The popular and solidarity economy plays a fundamental role within the socio-economic development in Ecuador because it offers an alternative model based on production cooperation, distribution and consumption of goods and services. It aims to solve the problems of the social environment and improve the quality of life of people who are actively engaged in this kind of economy. However, it is necessary an efficient tax collection and an equitable distribution of wealth to achieve the desired economic development in this sector. Therefore, the tributary evaluation on deductible expenses to pay value-added tax (VAT) by non-profit social organizations is essential to achieve an adequate harmonization between tax revenue and non-oil revenues.

For the reason set out above,  the research objective was to evaluate deductible expenses to pay the value-added tax (VAT) by La Unión hace la fuerza (ASOUNF) Association of food services, cleaning, and courier located in the city of Loja. Hence, this study also supported to strengthen the tributary culture and raise the productivity of the city. The experimental research was developed with the qualitative and quantitative approach; the techniques used were the survey, interview, and documentary review

Principio del formulario

The results revealed that the taxpayer makes income tax withholding and VAT declaration in accordance with the law. At the same time, it was determined that the organization had not assessed the tax expenditures deductible for their activity, specifically in the VAT. In conclusion, it can be said that the tributary culture in the popular and solidarity economy should be improved to reach the tax benefits.