Saving taxes with warehouses (CES DLC)

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kg79
Level 3 user
Posts: 52
Joined: Tue Feb 16, 2016 10:13 pm

Saving taxes with warehouses (CES DLC)

Post by kg79 »

Hello!

I wonder if anyone tried to use the warehouses to save corporate tax. On my current map I have seen situations where this would work for a while, as long as the taxes do not change for a while. I had two cities in the north of the map, one had a nice real wage rate to produce goods there but a corporate tax of 30%. The stuff I'm producing there goes mainly to the south on the map, where the tax is at 20%. On the way in the middle there is a city with 12% tax. So I decided to ship the products produced in the north at costs or with loss to the city in the middle, and to deliver the goods straight from the wearhouse here to the cities in the south.

If these producs are internal and not meant for being sold to other companies, I would raise the warehose selling price at a high level and provide the stores again somewhere at costs or a little plus, so I would not pay 20% tax of the cities in in south but just 10% of the city where the warehouse is on the way. But even I would sell to other companies this setup could work out well.

Of course you have to consider the running costs of the wearhouse, but you can try to keep this warehouse at the lowest and most efficient level as you can, or use the waerhouse also for other things and not just for tax saving.

Importing raw materials via a warehouse in a high taxed city and selling them to your factories at loss can also help in some situations to lower the profit taxes.

This is a new nice and realistic aspect for the game and things like "internat sale at costs" becomes even more important
jondonnis
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Posts: 283
Joined: Sat Jul 24, 2010 12:53 am

Re: Saving taxes with warehouses (CES DLC)

Post by jondonnis »

Do you have images of this? Sounds like a good idea but I sometimes struggle to read and understand the balance sheets at times.
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