Taxes will be levied at the end of season upon your profit and/or remaining bank balance.
Profit Tax
Profit taxes are calculated based on the net profit you make during a particular season. There are different tax slabs and a percentage of the profit will be levied as taxes.
$ 10,000,000 or below : No Taxes
$ 10,000,001 to $ 25,000,000 : 5 percent
$ 25,000,001 to $ 50,000,000 : 10 percent
$ 50,000,001 to $ 75,000,000 : 15 percent
$ 75,000,001 to $ 100,000,000 : 20 percent
Above $ 100,000,000 : 25 percent
Fortune Tax
Fortune tax is a calculated at 10 percent of your final bank balance above $ 100 million. The amount eligible for fortune tax is taken after the profit taxes are applied on your season's profit.
Sample Calculation
Suppose you have $ 200 million bank balance at the end of the season and your profit for the season was $ 60 million.
The amounts that fall in the profit tax slabs will be:
$ 0 to $ 10,000,000 : $ 0
$ 10,000,001 to $ 25,000,000 : 5 percent of $ 15,000,000 = $ 750,000
$ 25,000,001 to $ 50,000,000 : 10 percent of $ 25,000,000 = $ 2,500,000
$ 50,000,001 to $ 60,000,000 : 15 percent of $ 10,000,000 = $ 1,500,000
The total profit tax you have to pay is $ 750,000 + $ 2,500,000 + $ 1,500,000 = $ 4,750,000
Amount eligible for Fortune tax is $ 200 million - $ 4.75 million = $ 195.25 million
You pay fortune tax above $ 100 million only, so fortune tax = 10 percent of $ 95.25 million = $ 9,525,000
Total Taxes = Profit Tax + Fortune Tax = $ 4,750,000 + $ 9,525,000 = $ 14,275,000