6 replies to this topic

[tsbond]

So I get hit with income tax and then was late on payment for the bond and lost my B credit rating... I have no problem with taxes but it seems it would have been for the year before and we just started operations. 10 million in income tax when you have 2 or 3 planes flying with only 2 to 4 million in cash seems a bit excessive since income tax is paid yearly for the prior year. Just weird thing I noticed for starting up a new world.

[tsbond]

Didn't really write that correctly. Guess what I am asking is does that hit every 2 months or is it for the year?

[sikjoven]

Income Tax hits every month.  Just try and keep a positive cash flow.  Every month you are positive, your credit rating gets better.  Only in 1967 in O2, but paid 6b in tax in 1966 ={

 

Heck, I'm still paying off 2x $5m bonds I took out in the start of the game, and I'm making billions per month.  Hopefully at some point there will be an option to pay off a bond early, but for now you gotta live with it.

 

Remember that major payments go out on the 1st and the 16th, so try and limit massive spending for the few days following those dates, so that when they roll around, you don't go negative and can keep that positive cash flow.

[tsbond]

Ah I see yes every month I was just taken off guard by it, will be sure to keep a stockpile of cash since don't know what it is based on. Do you know if you invest a lot if it goes down or is it just based off revenue? Thanks for info!

[sikjoven]

From what I can tell, look at your "Net Income" at the bottom of your financial statement.

 

Your income tax will almost always be ~42% of that total, and it gets paid out at the end of the month.  (Remember, the game operates on a 24 day month.)

[sikjoven]

Math Examples:

 

This is what I've paid for income tax:

 

1964 - $785,778,535 tax on $1,788,677,075 NET income = 43.93%

1965 - $3,139,285,816 tax on $7,325,000,241 NET income = 42.85%

1966 - $6,068,517,121 tax on $14,159,873,286 NET income = 42.85%

1967 (YTD) - $4,847,634,973 tax on $11,311,148,268 NET income = 42.85%

[tsbond]

Ouch but nice info! Thanks

 

Yes paid 42.85%

 

36.7m net

15.7m tax