Final answer:
Modern tax practice is categorized into tax planning, tax compliance, and tax research, which are all essential to meet the criteria of being equitable, simple, and efficient. Current tax issues include debates over the tax rate and law complexity, while tax laws are constantly revised to align with governmental goals.
Step-by-step explanation:
Tax Planning, Compliance, and Research
The question revolves around the three pillars of modern tax practice: tax planning, tax compliance, and tax research. Tax planning involves strategizing in order to minimize tax liabilities within the law. Tax compliance is about understanding and adhering to tax laws and filing the required documents, such as returns and reports. Tax research is conducted to interpret the tax laws and provide guidance for planning and compliance decisions. It's crucial that taxes meet the criteria of being equitable, simple, and efficient to ensure that they are effective and are more readily accepted by taxpayers.
Historical and current tax issues typically involve debates around whether taxes are too high, the complexity of tax laws, and proposals for tax systems reform, such as value-added taxes, flat taxes, or more progressive tax brackets. Governments and politicians adjust and revise tax laws often, which directly impacts the economy and individuals, depending on their social and fiscal policies and goals. Thus, understanding the economic impact of taxes and the principles like the benefit principle and the ability to pay principle is essential in tax practice.