Tax, tariff and trade laws are related directly to the business sector and its development. The favorable tax, tariff and trade rules can help a business to develop at a rapid pace. In other words, the future of a business sector in a particular region or country can be understood through the tax, tariff and trade laws related to that particular sector. The tax, tariff and trade rules and regulations are reviewed at regular intervals and if there is a major shift in the public opinion and in the regulator’s view, the rules can be changed or reformed through a trade agreement.
According to the exponents of free trade and globalization, tax, tariff and trade laws are considered as a whole and these three laws are inseparable. At the same time, these policies are referred as a movement that is against the concepts of globalization. Now, if there is any need to introduce programs like safe trade as well as moral purchasing and so on, the tax, tariff and trade policies and laws of the region need to be reformed.
With the concept of globalization gaining popularity, the supporters of this concept holds that the notion of separate policies for trade, industry and investment is not appropriate and it cannot be applied in the modern market. On the other hand, it is also believed that if tax, tariff and trade can be merged and a single face can be provided to these three different regulations, then the newly born tax, tariff and trade laws would agree with the terms of globalization and can help the national as well as the state and local markets to flourish.
The European Union is providing the example of the united face of tax, tariff and trade laws. This is called united because the Union is trying to develop the continent and this would be done through the concept of globalization. The Union has fixed the aim of the taxes and withdrawn almost all the tariffs that were designed as internal tariffs. On the other hand, a trade block has been developed for the West European region. With the introduction of Euro as common currency, the region is expecting some additional trade rules that would enhance the trade activities in the region.
Last Updated on : 1st July 2013