In a legal relationship, the passive subject is the party on whom the obligation falls.
Passive subject is a notion that is used within the framework of a legal relationship to name the party on whom the obligation falls . This means that, in a bond of this type, the active subject has the right to demand that the passive subject comply with the obligation he contracted.
It should be noted that subject is a term that can refer to an individual who lacks a name or identification in a context. The concept also refers to a grammatical function and a category of philosophy.
As an adjective, passive qualifies someone who waits or receives the action of another, without acting. The notion also mentions, at the level of the economy , the debts contracted by a person or an entity.
Example of passive subject
Let's take the case of a person (natural or legal) who lends money to another, agreeing on how it will be returned (instalments, terms, interest, etc.). In this case, the taxpayer is the person who receives the money borrowed and who, therefore, undertakes the obligation to return it under the agreed conditions .
If the taxpayer does not comply with the obligation , either because he is late in the deadlines, pays less than due or directly suspends payments, the active subject will have the legitimate right to demand that he comply with the agreement.
The passive subject, if he persists with his behavior, is liable to receive the punishment that the law indicates for these cases. In other words: the active subject can resort to legal actions with the aim of achieving debt recovery.
The notion of taxable person is used in the field of taxation.
The concept in the tax field
In the tax field, the taxable person is the person on whom the obligation to pay taxes falls; In other words, this component can be defined as the individual who carries out the action that gives rise to the generation of a tax. If we take the income tax as an example, the taxpayer is the company or person who must pay this tax, as well as whoever has obtained income that has contributed to the increase of their assets, or who has one, in the first place. place.
VAT ( Value Added Tax ) shows us another case in which the taxable person comes into play; To occupy this role, an individual must acquire goods, make a purchase, which is why we can say that in this context we are also talking about the final consumer . On the other side of this equation is the person or entity that collects this tax and who, in turn, must declare it and pay for what they have collected; It is about whoever has sold the product or service to the taxable person and, unlike the situation of a loan , explained above, is nothing more than a mere intermediary between it and the State, since it will not keep the VAT money.
There is another concept in which we find the passive subject: withholding at source . It is the advance collection of a specific tax, which may be, for example, income tax, industry and commerce tax, or VAT. Since taxes are paid with a certain periodicity, which is generally divided into months, the State can resort to this measure to collect in advance a part of the money that it will receive sooner or later.
The taxpayer of the withholding at source is none other than the person or company from which the tax money is withheld. It is important to note that the entity responsible for applying said withholding must not make the payment with money out of its own pocket, but must withhold a larger amount from the taxpayer.