Tax Laws
Laws are the methods by which social order is enforced. Laws shape almost every aspect of modern life across the world, independent of social status, location, age, wealth, or any factor that may differentiate one person from another. Each country has a different way in which the law for that country is devised, as well as what is guaranteed in the code of law. Laws are generally meant to ensure rights, wither those of individuals, groups of people, or the government. There are several common areas of laws that transcend most systems. These sections are criminal law, constitutional law, contract law, tort law, property laws, and equity and trust laws. Many people do not realize it, but anyone who has ever worked, even if for just a single hour, has been affected by constitutional law.
Constitutional law is normally considered to entail the body of laws which affects the legal rights of individuals in regard to the government, as well as the actions that governments are allowed to engage in. Constitutional law is largely influenced by John Locke’s theorem that says individuals can do anything not prohibited by law, but governments may not take any actions the laws do not proscribe. The most pervasive area of constitutional law is tax law. In the United States tax laws are passed by the House of Representatives. When writing the Constitution the Founding Fathers decided to keep the “power of the purse strings” with the part of the national government that would be most closely connected to the people. Tax law is considered the purview of the federal government by in Article II, Section 8. Tax laws can also be implemented by individual states depending upon their particular state constitutions. Local, state, and federal tax laws are passed every budget year in order to finance the current budget. Governments pass tax laws levying different rates on income and wealth, capital gains, retirement pension, social security contributions, inheritances, gifts received, and consumption or sales taxes which govern individuals, as well as tax laws which affect the earning of corporations, limited liability corporations, and partnerships.
Introductions to tax laws can be attained from both law schools and from business schools offering Masters in Taxation. Some schools offer the ability to focus on international, foreign, or domestic tax law. People who study tax law in law schools have two different routes available to them after earning their law degrees. Some elect to serve as tax consultants, while others become involved in tax litigation. Tax lawyers engaged in litigation often work in cases involving the Internal Revenue Service, or IRS. The study of tax law in a business school setting may prove invaluable for a person who wishes to become a Certified Public Accountant. Agents enrolled to service for the IRS often have a background in a field related to tax law. If they do not have prior exposure to tax law, they acquire a through knowledge soon after beginning work there.
