Western University

Mid-Term Exam
Name: Ly Tam Course title: Writing Research Papers
ID Number: B17- 0357 Room: 302 Session: _______________

Time Allowed: 90 mins Scores: ______________/ 100

Complete Essay

Topic: People should pay tax to the state. Do you agree or disagree?

Money is everything in today’s world. This is because money is used to buy all the
necessities such as food, water, and shelter. Money is also used to help a family’s children in
the form of school fees and other activities. People do not only need money to cater for their
necessities, but also for future investments. Meanwhile, Cambodian People work very hard to
earn money and they would like to retain all the money for themselves. However, a large
portion of the money the earned usually has to give to the state. Since Cambodia is developing
country, taxation is essential to every citizen. Why? Cambodian people should pay taxes for
three reasons.

First, the payment of tax to the State is the duty and obligation of all citizens and
revelation institutions as determined by the law. The Kingdom of Cambodia’s law on taxation
(1997) says that “Tax refer to a direct tax that directly collected from the taxpayers. Except
customs tax or fee refers to indirect taxes. The collection of tax is deducted from the cost of
goods or services and the taxpayers are the ultimate consumers” Once you buy goods, food or
services, you are being paid taxes on those items that vendors are already added value in taxes.
When you kill animals, such as cattle, buffalos or pigs at the slaughterhouse, you must pay
taxes on the slaughtering of the animals. Buildings built on land including, homes, factories
and offices, etc. are subject to taxation on rent for which landlords must sign a contract or
agreement with their tenants. When you set up a business, you must pay taxes on net income
from the operation of your business. You also have to pay taxes on all kinds of vehicles and
transportation. To run an entire country, especially the developing country like ours, taxation
is very in very essential. Through the taxes we pay, the government can perform civil
operations. In other, words, without taxes, it is impossible for the government to run the entire
country.

Second, tax payments can help build the nation. In the past, there has been a lot of debate
in Cambodia about what the state does with the tax revenues. What can citizens get when they
pay taxes to the state? The state creates and collects to firmly support the government's
massive expenses (Heng Vanda, 2016). Tax is the main source of income of the nation. Tax
revenue gathered through taxes foster administrative development at national and local levels
where it contributes to the needs and necessities of citizens. Tax revenues can be used to repay

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various debts including government debt. Moreover, the government uses revenues from taxes
to cover the cost of salaries and pensions of civil servants, teachers, police and the armed
forces. without taxes, it would be impossible for the government to run the country.

Third, A significant chunk of the collected taxes is spent on improving healthcare in the
country. There are government hospitals that offer medical services without any cost or at
minimum cost. Citizens can access healthcare services at health centers or public hospitals
across the country. Over the years, the quality of service provided by government hospitals has
improved by leaps and bounds, and it has only happened because of taxpayers paying tax.
According to Heng Oudom (2016), a radio reporter, writes in his article "citizens have to pay
tax," that paying taxes is a contribution to the national budget so that the state has money to
spend on health services, education and other public services. Similarly, revenues from taxes
are spent on national education. there are many state schools where your children can attend
from kindergarten until graduation without paying tuition fees. All of this ultimately helps in
making the country more powerful and prosperous.

Finally, thousands of crores are also spent every year on defense and social
infrastructures such as building schools, hospitals, roads, bridges, public gardens, pagodas,
and other public places. Citizens can travel conveniently on public roads. Every child can
attend public schools in their local area. Tax revenue is one of the important things of income
for the government to infrastructures (Kun Thea, 2020). In other word, paying taxes means
you help the nation as well as you yourself and your family. If people start thinking that tax is
a burden and avoid paying the same, it will directly impact the growth of our nation and also
result in social collapse.

Opponents of tax payment says that by paying tax in a burden which Cambodian people
loss their income. However, that is because don't understand why they have to pay tax.
Governments provide their public services such as police services and roads to the public. The
government also pays the salaries of civil servants and building social infrastructures. People
always want government services such as better education, more policing and better roads. All
these things cost money. This is the reason why we pay taxes.

In conclusion, paying tax is duty and obligation every citizen to help Cambodia
government built the country, social infrastructures and health and educational services. It's
our responsibility. Whether a developed country or a developing country, every citizen has the
same duty to pay taxes, but the type of tax and the law on taxation may vary. Therefore,
Cambodia people should not avoid paying taxes as it may affect the country’s economy and
services that it provides. Every citizen should think that contribute to the development of the
nation by paying tax rather than believing that tax is a burden. Try to understand the
importance of income tax, you will see the various roles your money plays in the development
of the country. Be a responsible citizen and always pay your income tax on time as it is
through tax payments that our country could keep up with other developed nations and grow
further.

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