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The new tax reforms have been an important support triggering the process of engagement of informal units with their tax administration. The latter has put in place various corrective measures to contain and mitigate the unfavorable consequences on the companies that make up the national economic fabric. In other words, the multilateral collaboration between the formal production units and the tax administration has allowed a successful economic recovery, increasing the resilience of enterprises during the coronavirus epidemic. However, the introduction of these new tax reforms, characterized by a downward trend in taxes, has triggered the willingness of production units operating in the informal sector to submit to the tax authorities, seizing the opportunity of the new tax bases to encourage everyone to pay taxes and improve the relationship between taxpayers and the administration. Nevertheless, this article will focus on the prediction of the act of engagement of informal units with the tax administration after the new tax reforms during the Covid-19 epidemic. This study will mobilize one of the extensions of generalized linear models, such as the binary logistic regression model.

The Russia-Ukraine war has disrupted global trade and supply chains, exacerbating the rise in global commodity and food prices. Persistently high global inflation accompanied by tepid growth brings fears of stagflation that could endure for several years. Amidst this environment, the US Federal Reserve and other advanced economy central banks sharply tightened monetary policy to curb inflation. This has translated into tighter external financing conditions and financial stress for some emerging markets and developing economies (EMDEs) as capital outflows have intensified. Despite global slowdown, Indonesia has experienced strong growth in 2022 thanks to commodity windfalls and a reopening of the economy. Indonesia’s external vulnerability has been low to moderate as strong exports have supported the external balance although tighter global finances have put some pressure on the capital account. Indonesia is projected to have a robust growth over the next three years though with significant downside risks emanating from the global economic environment. To address current macrofiscal policy challenges, the report highlights three policy and institutional areas that may warrant attention going forward. The first is about continuing with the implementation of tax reforms to broaden the tax base and improve compliance of business tax collection. The second is related to public spending where the authorities could over time move towards a rules-based pricing model for energy to contain subsidy pressures. The third is improving targeting and expanding coverage of existing social assistance and social insurance programs. This means filling coverage gaps, developing a system that provides a guaranteed minimum protection across the lifecycle, and strengthening delivery systems.

This study examined the effect of tax reforms on Federal Government Internally Generated Revenue in Nigeria for the period 2005 - 2020. The specific objectives are to evaluate effect of petroleum profit tax reform and company income tax reform on internally generated revenue system in Nigeria. The theoretical underpinning of this study is based on the Ability-to-pay theory. The study was an ex-post-facto research which made use of secondary data obtained from the Central Bank Statistical Bulletin. The study employed descriptive statistics and graphical representation using E-Views 10 software to check for the trends, linearity or otherwise of the data. Regression model was applied in determining the extent of the effect exerted on federal government internally generated revenue by Petroleum Profit Tax (PPT) and Company Income Tax (CIT). The result of the analysis revealed that petroleum profit tax has significant and positive effect on internally generated revenue while company income tax depicts a negative and insignificant effect on IGR. The implication of this finding is that the level of internally generated revenue has been very much influenced by petroleum profit tax. The study concluded that tax reform is necessary and healthy for emerging nation economies like Nigeria, as it helps to increase revenue generation, reduce or block leakages and improve efficiency thereby increasing or promoting government internally generated revenue. This study therefore recommends that the Federal Government of Nigeria should continue to enact friendlier Petroleum Profit Tax Reforms which will ensure persistent improvement on internal revenue generation in the short and long run.

Labor supply responses constitute real responses to taxation and are central for policy analysis. This paper estimates the elasticity of labor supply at the intensive margin by applying conventional estimation strategies from the elasticity of taxable income (ETI) literature to administrative register data on performed hours of work. The elasticity is estimated to be 0.08, significant, and can be attributed to individuals changing main and secondary employment, a general increase in contract hours, and a reduction in paid absence. By also estimating ETI, which captures all responses to taxation, I show that a large part of total responses can be attributed to individuals adjusting work hours, capturing inherent labor responses, and I thereby provide a link between the labor and public finance literatures. These findings suggest that contextual factors such as labor market fluidity and flexibility are important to facilitate real responses to taxation and that labor supply responses are core underlying drivers of total responses to taxation.

This paper provides quasi-experimental evidence on the effects of income taxes on gross hourly wages by utilizing administrative data and a tax reform in Denmark. The reform introduced joint taxation to a middle tax bracket, bringing large changes to the tax system facing married couples. Using variation in spousal income for identification, we present non-parametric graphical evidence based on a difference-in-differences design among working married males. First, we find hetero- geneous effects across income levels. For low-income workers, taxes have negative and dynamic effects on wages. Their elasticity of wages (with respect to net-of-marginal-tax rates) is close to one. For higher-income workers, the effects are small and static, with an elasticity of approximately 0.2. Second, wages respond to taxes through human capital accumulation and job changes. Finally, with smaller magnitudes than wages, daily hours worked also respond negatively to taxes, which contrasts with the prediction from a standard labor supply-and-demand model.

Research on many important questions on taxation is impeded by a lack of cross-nationally comparable data. We introduce a new dataset that includes quantitative harmonized indices of tax reforms based on qualitative information of about 900 Economic Surveys from the OECD and 37,000 tax-related news from the IBFD archives collected by the IMF (Amaglobeli et al., 2018). Our dataset provides indicators on tax reforms for tax rates and tax bases, along with detailed sub-indices for six types of taxes (23 countries, 1960-2014). Relating tax reforms to the timing of elections, we provide first empirical evidence on electoral cycles in tax reforms on the national level. Our results show that politicians postpone tax rate increases to after elections. Examining heterogeneity across tax types, we find that electoral cycles are particularly pronounced for value added tax rates and personal income tax rates.

Esta investigación se realiza con la finalidad de determinar las principales ventajas y desventajas de la nueva reforma, se empleó la investigación descriptiva, exploratoria, el diseño de investigación fue no experimental de corte transversal, el método de investigación fue deductivo y obtuvimos como resultado que la creación nuevas leyes tributarias no ayudará a aumentar la recaudación de tributos cumpliendo así con lo establecido en la curva de Laffer. This research is carried out in order to determine the main advantages and disadvantages of the new reform, descriptive, exploratory research was used, the research design was non-experimental cross-sectional, the research method was deductive and we obtained as a result that the The creation of new tax laws will not help increase tax collection, thus complying with what is established in the Laffer curve.

The institutional literature suggests that long-term tax incentives are crucial for entrepreneurs, but studies on this topic are hampered by theoretical and empirical problems related to how to define and measure entrepreneurial income. We resolve these problems by drawing on a theoretical definition of the entrepreneur as an owner, which enables us to identify entrepreneurship empirically by means of investments made by active owners of closely held firms. Using detailed Swedish tax data, we analyze the tax incentives for such owner-entrepreneur investments from 1862 to 2018, thereby highlighting the evolution of a general institutional phenomenon through a long-run, in-depth, country-specific analysis. We calculate the annual marginal effective tax rate (METR) on capital income for investments, distinguishing between average- and top-income entrepreneurs, and between three sources of finance. We identify five tax regimes that indicate substantial differences in institutional quality over time according to the magnitude of the METR and METR differences between average- and top-income entrepreneurs and across sources of finance. Increased taxation of owner-entrepreneurs helps explain the absence of new large entrepreneurial firms in Sweden after World War II, while improved incentives can be associated with Sweden's recent entrepreneurial renaissance.

We examine the revenue and redistributive effects of tax policy reforms in twelve European countries over the decade between the financial crisis and the outbreak of the COVID-19 pandemic, setting them against the implications of a hypothetical system reflecting the extent of fiscal drag resulting from nominal wage increases. We show that the combination of wage growth and progressivity of the tax system determined the fiscal leeway which governments could use to reduce income inequality. Despite significantly faster wage growth in the examined post-communist countries of Central and Eastern Europe, their much lower degree of progressivity implied limited additional scope for fiscal changes. While decisions taken in most of the examined countries in the CEE region led to increases in tax progressivity, their income tax systems continue to be far less redistributive in comparison with such countries as Ireland, the Netherlands, or Portugal. This not only has direct implications for income inequality but also translates into limitations of automatic fiscal drag effects on government revenues, which could offer additional resources, in particular at a time of high inflation.

This paper addresses the problem of the normative evaluation of income tax systems and income tax reforms. While most of the existing criteria, framed in the utilitarian tradition, are uniquely based on information about individual incomes, this paper, building upon the opportunity egalitarian theory, proposes new equity criteria which take into account also the socio-economic characteristics of individuals. Suitable dominance conditions that can be used to rank alternative tax systems are derived by means of an axiomatic approach. Moreover, the theoretical results are used to assess the redistributive effects of an hypothetical tax reform in Romania through a microsimulation analysis.

This study examines how tax performance is associated with tax reforms and civil conflicts in Burundi. The results from a regression analysis on a tax equation indicate that total tax revenue, international trade taxes and income taxes, are not associated with civil conflicts. However, taxes on goods and services are found to be negatively associated with civil conflicts. The results show also that total tax revenue and the tax categories are not associated with tax reforms. The reasons why tax revenue performance may not have been associated with tax reforms, include the prevalence of fiscal corruption, the negative effects of conflicts on the economy, abusive tax exemptions, and failure to focus on widening the tax base. There is a need to rethink the implementation of tax reforms in Burundi to enhance their effectiveness.

Bureaucracy is a common problem in most countries, including the Member States of the European Union. This issue impacts all areas of civil services, including the fiscal system through tax collection and tax compliance. This study aims to analyze the impact of tax reforms on the business environment by using different business confidence indicators as an estimation of the expected evolution of the industrial sector, the construction sector, the retail sector and the services sector, as well as the tax burden as a proxy for the tax reforms.Our research is based on quarterly data collected for the 28 European Union Member States, for a period of 30 years. The conclusions were reached following multiple regression estimations, done for each Member State separately, and followed by a detailed analysis of the results obtained. Thus, focusing on each country individually, the study reveals the influence of reforms in the tax systems on business confidence.

We estimate that the short to medium-term fiscal impact of previous pandemics has been significant in 170 countries (including low-income countries) during the 2000-2018 period. The impact has varied, with pandemics affecting government expenditures more than revenues in advanced economies, while the converse applies to developing countries. Using a subset of 45 developing countries for which tax reform data are available, we find that past pandemics have propelled countries to implement tax reforms, particularly in corporate income taxes, excises and property taxation. Pandemics do not drive revenue administration reforms. info:eu-repo/semantics/publishedVersion

We empirically assess the effects of structural tax reforms on government spending efficiency in a sample of 18 OECD economies over the period 2006–2017. After calculating input spending efficiency scores, we evaluate in a panel setup the relevance for public sector efficiency of narrative tax changes. We find that: i) input efficiency scores average around 0.6–07; ii) increases in tax rates, primarily for PIT, negatively affect public sector efficiency; iii) controlling for endogeneity, increases in tax rates are still associated with lower public sector efficiency, mainly for PIT and increases in tax bases improve public sector efficiency; vi) in expansionary periods, increasing the CIT base and reducing PIT rates, positively affect public sector efficiency; ix) in contrast, during recessions efficiency improves when PIT and VAT bases increase and the CIT rate increases. info:eu-repo/semantics/publishedVersion

В настоящее время разрушительные последствия пандемии коронавируса нового типа COVID-19 и связанных с ней жестких ограничительных мер ставят перед налоговой системой России серьезные вызовы, включающие необходимость поддержки населения и бизнеса, а также возобновление экономического роста в постпандемический период., Currently, the devastating consequences of the COVID-19 coronavirus pandemic and the associated severe restrictive measures pose serious challenges to the Russian tax system, including the need to support the population and businesses, as well as the resumption of economic growth in the post-pandemic period.

The evaluation of welfare effects should be clear and presented in an easy to interpret manner. In this paper, we show that on these grounds the true index of cost of living, first introduced by Konüs (1939), is preferable to the standard absolute indicators when evaluating welfare effects in static applied general equilibrium models i.e. the equivalent and the compensated variations. In these applied models, it is customary to use linearly homogeneous utility functions such as Cobb-Douglas or the more general CES specification. Under this class of utilities, the Konüs index is independent of the reference level of utility. This makes this index an unambiguous cost of living indicator. Lastly, to show the convenience of using the Konüs index in empirical work, we have carried out an original exercise with a novel data set for the Spanish economy. We report the macroeconomic and welfare impacts of two alternative Value-Added Tax Reforms through the application of an original simulation strategy

Author(s): White, Jonathan W.; Michaels, Joshua J. | Abstract: Since 2005, the Federated States of Micronesia (FSM), nervous over the uncertain future of the Compact of Free Association and seeking to improve its fiscal self-sufficiency, has wasted time and resources on a pie-in-the-sky tax reform proposal with too many moving parts and too many stakeholders to satisfy.n A more practical path to tax reform must be found—and as the authors argue, Hawaii’s unique tax system should be used as a map forward.The FSM and Hawaii each have broad-based consumption taxes—the gross revenues tax and the general excise tax, respectively.n Although these two taxes appear similar at first glance, Hawaii’s tax has developed sophisticated characteristics over the past eighty-five years. nInstead of attempting yet again to discard its gross revenues tax, the FSM should transform it.n Replicating and accelerating Hawaii’s eighty-five-year tax evolution could offer the FSM a much more practicable—and less politically daunting—shortcut to a modernized, efficient, and lucrative tax system.

We introduce a new dataset that includes quantitative harmonized indices of tax reforms based on qualitative information of about 900 Economic Surveys from the OECD and 37,000 tax-related news from the IBFD archives. The data set provides indicators on tax reforms for tax rates and tax bases, along with detailed sub-indices for six types of taxes (23 countries, 1960–2014). Relating tax reforms to the timing of elections, we examine electoral cycles in tax reforms. Our results show that politicians postpone tax rate increases to after elections. A key innovation of our data set is the coverage of harmonized indices for six tax types. Examining heterogeneity across tax types, we find that electoral cycles are particularly pronounced for value added tax rates and personal income tax rates.

This paper analyzes the role of political variables in the implementation of structural tax reforms in 45 emerging market and low-income economies during 2000-2015. The existing literature identifies several hypotheses that drive reforms, but empirical studies that support these hypotheses are lacking. Relying on a new database of structural tax reforms and on binary-type models, our results suggest that a left-wing government is less inclined to implement tax reforms while both proximity to elections and political strength or cohesion are positively associated with tax reforms. The influence of the left government is stronger in low-income than in emerging market economies and revenue administration reforms are resisted the most by such governments. Proximity to elections seems to trigger reforms of personal income tax (PIT) but opposite holds for trade tax reforms. Political cohesion is a necessary ingredient to reform most tax categories and revenue administration. info:eu-repo/semantics/publishedVersion

Dissertação de Mestrado em Contabilidade e Finanças apresentada à Faculdade de Economia O novo figurino contabilístico internacional que vem sendo adotado por vários Estados, tanto nas economias desenvolvidas como em economias emergentes, originou uma nova forma de tributação dos rendimentos das empresas, adaptando a nível fiscal vários conceitos imbuídos de muita subjetividade. Desta forma, este trabalho teve como objetivo analisar o regime fiscal das depreciações e amortizações dos ativos fixos em Angola e Portugal, tendo em conta o seu impacto no rendimento das empresas, mas também procurar pelas semelhanças e diferenças entre os dois países.De acordo com a análise efetuada nesta dissertação, recorremos à pesquisa de tipo descritivo e qualitativo, isto é, ao tratamento fiscal das depreciações e amortizações dos ativos fixos em Angola e Portugal.Da análise efetuada ao longo deste estudo verificámos que Angola, contrariamente a Portugal, possuí um sistema fiscal menos estruturado e moderno. Constatámos também em sede do IRC, diferenças nas taxas e no tipo de regime de tributação. Concernentemente ao regime fiscal das depreciações e amortizações, e tendo em consideração os seus elementos mais polémicos, verificámos na legislação fiscal angolana, de uma forma geral, a existência de um desajustamento, se tivermos em conta as normas fiscais recomendadas internacionalmente. Isto deve-se ao facto de Angola ter um regime contabilístico geral menos adequado às normas internacionais. Porém, em Portugal confirmámos que a situação é diferente, pois este país apresenta um regime mais adequado às práticas internacionais. Posto isto, flexibilidade é a palavra que melhor determinou o comportamento dos legisladores fiscais nos países em estudo.Tendo em conta os principais elementos analisados, concluímos que, ambas as jurisdições apresentam mais divergências do que proximidade, no que toca ao regime fiscal das depreciações e amortizações. Assim, o facto de as reformas fiscais que ambos os países buscam, dificilmente e num curto e médio espaço de tempo, os tornar tão semelhantes do ponto de vista do sistema fiscal, determina como indispensável a comparação entre eles. The new international accounting model that has been widely adopted by several States throughout the world, both in developed and emerging economies, has given rise to a new form of taxation of corporate income, adapting several accounting concepts that have been imbued with a lot of subjectivity. Therefore, the present study aimed to analyze the tax regime for depreciation and amortization of fixed assets in Angola and Portugal, considering their impact on corporate income and looking up for similarities and differences between both countries. According to the conducted analysis, we used a descriptive and qualitative research since we developed an approach of the tax treatment of depreciation and amortization of fixed assets both in Angola and Portugal. Also, because of the conducted analysis we found out that Angola, and unlike Portugal, has a less structured and modern tax system. Similarly, we also noticed some differences in the Corporate Income Tax, which refer to the rates and to the type of the taxation regime adopted by each country. Concerning the tax regime for depreciation and amortization, and considering its most controversial elements, we found out the existence of a mismatch in the Angolan tax legislation in general, especially when considering the internationally recommended tax rules. This is mainly due to the fact that Angola has a general accounting regime that is less suited to the international standards. Nevertheless, in Portugal the situation is quite distinct, as this country presents a regime that is more suited to the international practices. Therefore, flexibility is definitely the word that best determines the behavior of tax legislators in the countries under investigation in the present study. Lastly, and taking into account the main elements that were analyzed, we conclude that both jurisdictions present more divergences rather than similarities, especially with regard to the tax regime for depreciation and amortization. Hence, the tax reforms that both countries seek, both at a short and medium time, will hardly make them very similar in terms of the tax system in general, which justifies the pertinence, as well as the relevance, of establishing a comparison between these two countries.

The rebalancing of the Chinese economy is analyzed through a heterogeneous taxation of various types of firms. Based on a two-country dynamic general equilibrium model, the paper applies tax reforms to raise consumption, reduce some firms' overinvestment and maintain a high level of welfare. To rebalance consumption and investment, taxation may allow reallocating a part of the labor force to firms that are not overinvesting. Moreover, the correction of distortions in production factor costs (capital and labor) is necessary during certain reforms applied in the model; that is, on the one hand, higher credit costs for State-Owned Enterprises (SOEs) and, on the other hand, a catch-up of foreign firms' wages by domestic firms (public and private). In this model, firms' credit cost is a key channel because it impacts both firms' investment and household consumption (through returns on savings). These consumption and investment reforms bring welfare benefits to households, and the results are close to direct welfare maximization. In this framework, the rebalancing of the domestic demand does not require the readjustment of the external financial position because the aggregate savings rate remains high and the supply of domestic assets is reduced. Finally, another theoretical framework proposes a heterogeneous taxation of consumption across home and foreign goods to enhance consumption. Abstract The rebalancing of the Chinese economy is analyzed through a heterogeneous taxation of various

We evaluate the effects of structural tax reforms on government spending efficiency in a sample of OECD economies over the period 2007-2016. After calculating input spending efficiency scores, we assess the relevance for efficiency of narrative tax changes in a panel setup. We find that: i) input efficiency scores average around 0.6-07; ii) increases in the tax rates are reflected in falling public sector efficiency; iii) such negative effect is significant for PIT and VAT; iv) controlling for endogeneity, increases in tax rates are still associated with lower public sector efficiency, mainly in PIT; v) increasing tax bases for PIT and VAT improve public sector efficiency; vi) in economic expansion periods, increasing CIT base and reducing PIT rates, positively affect public sector efficiency; ix) in recessions, efficiency improves when PIT and VAT bases increase and CIT rate increases. info:eu-repo/semantics/publishedVersion

We consider a broad class of intertemporal economic problems and characterize the short-run and long-run responses of the demand for a good to a permanent increase in its market price. Depending on the interplay between self-productivity and time discounting, we show that dynamic substitution effects can generate price elasticities of opposite signs in the short run and in the long run. (JEL D11, D15, H20, J22, J24)

This paper provides necessary and sufficient conditions for the existence of Pareto-improving tax reforms. The conditions can be expressed as sufficient statistics and have a wide range of potential applications in public finance. We discuss one such application in detail: the introduction of the Earned Income Tax Credit (EITC) in the US. We find that the EITC can be viewed as a response to an inefficiency in the tax and transfer system prevailing at the time. This adds a newperspective to the literature on why the EITC is a good idea, emphasizing Pareto improvements rather than equity-efficiency trade-offs.

We study reforms of non-linear income tax systems from a political economy perspective. We present a median voter theorem for monotonic tax reforms, reforms so that the change in the tax burden is a monotonic function of income. We also provide an empirical analysis of tax reforms, with a focus on the US. We show that past reforms have, by and large, been monotonic. We also show that support by the median voter was aligned with majority support in the population. Finally, we develop sufficient statistics that enable to test whether a given tax system admits a politically feasible reform.

We revisit the identification of behavioral responses to tax reforms and develop a new approach that allows for graphical validation of identifying assumptions and representation of treatment effects. Considering typical tax reforms, such as a reduction in the top income tax, we show that the state-of-the-art estimation strategy relies on an assumption that trend differences in income across the income distribution remain constant in the absence of reforms. Similar to the pre-trend validation of differences-in-differences studies, this identifying assumption of constant trend differentials can be validated by comparing the evolution of income in untreated parts of the income distribution over time. We illustrate the importance of our new validation approach by studying a number of tax reforms in Denmark, and we show how violations of the identifying assumption may drive the estimates obtained from the state-of-the-art strategy.

We provide an axiomatic justification to aggregate money metrics. The key axiom requires the approval of richer-to-poorer transfers that preserve the overall efficiency of the distribution. This transfer principle-together with the basic axioms of anonymity, continuity, monotonicity, and a version of welfarism-characterizes a standard social welfare function defined over money metric utilities.

We provide an axiomatic justification to aggregate money metrics. The key axiom requires the approval of richer-to-poorer transfers that preserve the overall efficiency of the distribution. This transfer principle-together with the basic axioms of anonymity, continuity, monotonicity, and a version of welfarism-characterizes a standard social welfare function defined over money metric utilities.

The article is dedicated to the assessment of the ideology and pragmatics of the tax reforms in Ukraine. The author’s approach to studying the problem differs from the traditional approaches, which are focused on assessing the fiscal effectiveness of taxes, and is aimed at evaluating the validity of such reforms and their benefits for the society with consideration for long-term development of the country. The purpose of the article is to assess the ideology and pragmatics of the tax reforms in terms of their validity and effectiveness for the society. There analyzed the vectors of the tax reforms concerning the main budget-forming taxes: profit tax, personal income tax, VAT. A comparative analysis of the trends in taxation of incomes and value added in Ukraine and the world is carried out. It is substantiated that the goals of the tax reforms declared by the authorities in Ukraine were either contrived or were never achieved. The real goals of the endless reforming were the creation of broad opportunities to avoid taxation on the “legitimate” grounds for the oligarchic clans. It was the avoidance of taxation that created the prerequisites for their accelerated enrichment, which was used mainly with unproductive purposes and did not contribute to the development of the national economy. In view of this, we consider it necessary to give a negative assessment of the tax reforms that were carried out in Ukraine. In addition, the result of the tax reforms was the inadequate filling of the budget with tax revenues and, consequently, very limited financing of the social sphere, whose state is recognized by the government itself as at the least unsatisfactory, being in fact catastrophic. Thus, the impartial assessment of the tax reforms in Ukraine testifies both to their inefficiency, and the negative consequences for the society, on the one hand, and the full realization of the targets for the oligarchs, on the other.

This study estimates elasticity and buoyancy of various tax components as well as the impact of tax reforms on tax components in Nigeria between 1981 and 2014. Error correction mechanism (ECM) technique was employed in analyzing the data. The results revealed that: All the tax components were inelastic, there was a general improvement in post-reformed tax elasticities ranging from 0.199 to 1.28 with petroleum profit tax and the total tax revenue having coefficients >1, values of tax buoyancies were all positive and

This paper studies the effects of several tax reforms in an economy in which taxes are partially evaded by means of undeclared work. To this purpose, we consider a two-sector dynamic general equilibrium model calibrated to Italy which explicitly accounts for underground production. We construct various tax reform scenarios, such as deductibility of labor costs from business tax, ex-ante budget-neutral tax shifts from direct to indirect taxes, and various tax cuts financed by decreases of government spending. We find the following results. First, neglecting the existence of the underground sector may lead to severely miscalculate the macroeconomic impact effects of tax reforms, especially in the short run, where policy interventions produce direct and indirect effects on the markup. Second, partial deductibility of labor costs from the business tax base proves to be highly expansionary and highly detrimental to the size of the underground sector. Third, the dimension of the underground sector is permanently and considerably reduced by changes in the tax mix that diminish the labor tax wedge. Finally, all the considered tax reforms take the public-debt-to-output ratio toward a prolonged downward path.

Political variables play a crucial role in shaping tax systems and tax reforms in Europe. This paper presents new evidence on the relationship between political factors and tax design in European countries. For the period 1995-2012, we find that, when the country’s ruling coalition is left-wing, income taxes become more relevant. Moreover, when the largest government party is more powerful, the share of property taxes over GDP increases, while the number of seats held by the second government party is positively associated with the level of consumption taxes over GDP. We also find that a more powerful government is associated with a lower top tax rate of the personal income tax (PIT). Building upon this evidence, we review the main arguments developed by the empirical political economy literature on taxation and discuss the role of political factors in fundamental issues of taxation: redistribution and progressivity; tax design and its impact on growth; tax complexity; tax administration; tax competition; and the need for tax reforms.

Páginas 15-41., Tras la crisis de la deuda externa, diversos países de América Latina emprendieron amplias reformas económicas orquestadas por organismos multilaterales como el FMI, las cuales se alineaban con las pautas que hacían parte del Consenso de Washington. Sin embargo, tras más de 25 años de aplicación del citado Consenso, son contradictorios muchos de los resultados alcanzados en materia económica y social en la región, por lo que en este documento, además de revisar algunas falencias en su concepción, se consideran ciertas recomendaciones de ajuste, especialmente en el área tributaria. En general, se establece que la falta de coherencia interna del modelo y lo endeble de ciertas hipótesis en que se fundamentó, como la presunta ineficiencia del Estado, limitaron el cumplimiento de sus objetivos., Many countries in Latin America undertook sweeping economic reforms in response to the debt crisis, which were fostered by multilateral agencies such as the IMF and were aligned with the guidelines offered by the Washington Consensus. However, and after more than 25 years of application, many results achieved under the said consensus in economic and social matters are contradictory; therefore,this document reviews some shortcomings of its design and considers certain recommendations of adjustment, particularly in taxation. The paper states that the lack of internal consistency of the model and the weakness of certain assumptions on which it was based, such as the alleged inefficiency of State, limited the fulfillment of its objectives., Artículo revisado por pares.

We study effect of semi-autonomous revenue administration reform on tax revenues in sub-Saharan Africa. From a set of data collected on 40 countries between 1980 and 2010, we find a diversified effect on total non-resource tax revenue. In medium term, semi-autonomous revenue authorities don't collect more revenue than traditional administrations and their efficiency diminishes over time. The main conclusion is that semi-autonomous revenue administrations are not a panacea for improving revenue mobilization in Sub-Saharan African countries.; Nous étudions l’effet de la réforme des administrations de recettes semi-autonomes sur les recettes fiscales en Afrique subsaharienne. A partir d'un ensemble de données collectées sur 40 pays entre 1980 et 2010, nous constatons un effet diversifié sur le total des recettes fiscales hors ressources naturelles. A moyen terme, les administrations de recettes semi-autonomes ne mobilisent pas plus de recettes que les administrations traditionnelles et leur efficacité s'amenuise avec le temps. La principale conclusion est que les administrations de recettes semi-autonomes ne sont pas une panacée pour améliorer la mobilisation des recettes dans les pays africains.

We study effect of semi-autonomous revenue administration reform on tax revenues in sub-Saharan Africa. From a set of data collected on 40 countries between 1980 and 2010, we find a diversified effect on total non-resource tax revenue. In medium term, semi-autonomous revenue authorities don't collect more revenue than traditional administrations and their efficiency diminishes over time. The main conclusion is that semi-autonomous revenue administrations are not a panacea for improving revenue mobilization in Sub-Saharan African countries.; Nous étudions l’effet de la réforme des administrations de recettes semi-autonomes sur les recettes fiscales en Afrique subsaharienne. A partir d'un ensemble de données collectées sur 40 pays entre 1980 et 2010, nous constatons un effet diversifié sur le total des recettes fiscales hors ressources naturelles. A moyen terme, les administrations de recettes semi-autonomes ne mobilisent pas plus de recettes que les administrations traditionnelles et leur efficacité s'amenuise avec le temps. La principale conclusion est que les administrations de recettes semi-autonomes ne sont pas une panacée pour améliorer la mobilisation des recettes dans les pays africains.

This study investigated the effect of tax reforms, economic growth and political environment on total tax, direct tax and indirect tax revenues using annual data for the period 1964-2016. Various techniques of analysis were employed: descriptive statistics, multi-segment regressions and non-linear regression. Results show that: all taxes responded positively to each of the tax reforms; changes in all taxes were affected by the reforms because GDP was also growing; economic growth has positive significant effect on all the categories of taxes; Government effectiveness has positive impact on indirect taxes; and that even though government control of corruption effect on tax revenues is statistically insignificant, it could promote the revenue generation more than economic growth. These findings have a number of policy implications: the government should put more emphasis on governance in order to promote revenue collection. Government effectiveness and control of corruption would go a long way to enhance tax compliance, reduce tax avoidance and evasion, eliminate illicit flows and reduce illegal collusion between tax payer and tax administrator that may deprive government of due revenues. Secondly, government must work towards designing and implementing in the reforms that make the tax system more buoyant, and link it more to economic growth.Key Words: Tax Revenues; Tax Reforms; Economic Growth; Governance/political environment; Budget Deficit; Public Debt.

International audience; Following the Great Recession, U.S. government debt levels exceeded 100% of output. We develop a macroeconomic model to evaluate the role of various shocks during and after the Great Recession; labor market shocks have the greatest impact on macroeconomic activity. We then evaluate the consequences of using alternative fiscal policy instruments to implement a fiscal austerity program to return the debt-output ratio to its pre-Great Recession level. Our welfare analysis reveals that there is not much difference between applying fiscal austerity through government spending, the labor income tax, or the consumption tax; using the capital income tax is welfare-reducing.

This study investigated the effect of tax reforms, economic growth and political environment on total tax, direct tax and indirect tax revenues using annual data for the period 1964-2016. Various techniques of analysis were employed: descriptive statistics, multi-segment regressions and non-linear regression. Results show that: all taxes responded positively to each of the tax reforms; changes in all taxes were affected by the reforms because GDP was also growing; economic growth has positive significant effect on all the categories of taxes; Government effectiveness has positive impact on indirect taxes; and that even though government control of corruption effect on tax revenues is statistically insignificant, it could promote the revenue generation more than economic growth. These findings have a number of policy implications: the government should put more emphasis on governance in order to promote revenue collection. Government effectiveness and control of corruption would go a long way to enhance tax compliance, reduce tax avoidance and evasion, eliminate illicit flows and reduce illegal collusion between tax payer and tax administrator that may deprive government of due revenues. Secondly, government must work towards designing and implementing in the reforms that make the tax system more buoyant, and link it more to economic growth.

A thesis submitted in partial fulfillment of the requirement for the Degree of Master of Commerce at Strathmore University Despite the crucial role played by SMEs in raising tax revenues and the tremendous growth experienced in this sector, the tax gap within this sector is still very high reaching about 33.1% to 35%. This has been attributed to among other factors low voluntary compliance levels. To deal with this trend, the government has over the years instituted various tax reforms. Nevertheless, the impact of these tax reforms on voluntary compliance levels is mixed and hence, this study sought to clarify these findings. The aim of the study therefore, was to assess the effect of tax reforms on voluntary tax compliance among SMEs in Nairobi County, Kenya. The study sought to establish the effect of technological tax reforms on the voluntary tax compliance among small and medium enterprises in Nairobi County, Kenya; to determine the effect of administrative tax reforms on the voluntary tax compliance among small and medium enterprises in Nairobi County, Kenya; to examine the effect of tax payer education reforms on the voluntary tax compliance among small and medium enterprises in Nairobi County, Kenya; to find out the effect of tax policy reforms on the voluntary tax compliance among small and medium enterprises in Nairobi County, Kenya and to establish the joint effect of tax reforms on the voluntary tax compliance among small and medium enterprises in Nairobi County, Kenya. The study covered the reforms undertaken for the period 2008 to 2018. The study was guided by the economic deterrence theory, the Allingham and Sandmo theory and the fiscal psychology models. The study applied a mixed methods research design. The study targeted all the 8983 licensed SMEs within the Nairobi CBD and 27 KRA officials handling tax issues within the Nairobi CBD region. In selecting the sample, simple random sampling and purposive sampling were used. Primary data using semi-structured questionnaires and structured interview guides was collected. The data analysis was undertaken using qualitative and quantitative approaches. A multiple linear regression model was used to show the link between tax reforms and tax compliance among SMEs in Nairobi County. The study findings showed that all the tax reforms had a positive and significant isolated or individual effect on voluntary tax compliance among businesses under study. Results on the combined effect of tax reforms on voluntary tax compliance among these businesses revealed that technological tax reforms, administrative tax reforms, taxpayer education reforms and tax policy reforms had a joint positive and significant effect on voluntary tax compliance among SMEs in Nairobi County. The study therefore concluded that implementation of effective tax reforms simultaneously was likely to improve the level of voluntary tax compliance among SMEs. Several recommendations were made in line with the findings obtained.

Особливості формування і функціонування ефективної податкової політики набувають в умовах інтеграційних процесів. Ці питання активно обговорюються на самих різних рівнях, причому це викликано необхідністю визначення критеріїв економічної і соціальної значущості податкової політики і розробки на їх основі конкретних ефективних заходів і механізмів оподаткування, здатних надавати прямий вплив на економічну ситуацію в країні. Світовий досвід господарювання розвинутих країн ЄС свідчить, що податкова політика залишається найбільш складним об’єктом державного управління. У статті проаналізовано рівень податкового навантаження в Україні та країнах ЄС. Розглянуто роль податкової системи в Україні та основні проблеми податкової системи в Програмі економічних реформ. Визначено рівень податкового навантаження в Україні 2013-2017 років відношенням фактичних податкових надходжень у зведений бюджет держави до обсягу валового внутрішнього продукту. Проаналізовано рівень податкового навантаження в країнах-членах ЄС. Проведено аналіз рейтингу Doing business – 2017, зокрема позиції України в рейтингу, а саме таких показників: легкість ведення бізнесу, отримання кредитів, захист інвесторів, міжнародна торгівля. За результатами аналізу рівня податкового навантаження в Україні та країнах Європейського Союзу розроблено рекомендації з оптимізації рівня податкового навантаження в Україні. Дослідження проведено з використанням наступних методів: порівняльного та графічного аналізу при визначенні стану податкових надходжень країн ЄС та України; наукового узагальнення та систематизації, методу порівняння при визначенні та групуванні інструментів стимулювання податкової політики України до євроінтеграції. The peculiarities of the formation and functioning of effective tax policy are acquired in the conditions of integration processes. These issues are actively discussed at the most different levels, and this is due to the need to determine the criteria of economic and social significance of tax policy and the development of specific effective measures and mechanisms of taxation that can have a direct impact on the economic situation in the country. The world experience of the management of developed countries of the EU shows that tax policy remains the most complicated object of public administration. The article analyses the level of tax burden in Ukraine and EU countries. The role of the tax system in Ukraine and the main problems of the tax system in the Program of Economic Reforms are considered. The level of tax burden in Ukraine for 2013-2017 is determined by the ratio of actual tax revenues to the consolidated state budget to gross domestic product. The level of tax burden in the EU member states has been analysed. The analysis of the Doing business-2017 rating, including the position of Ukraine in the rating, is based on indicators such as ease of doing business, obtaining loans, protecting investors, international trade. According to the results of the analysis of the level of tax burden in Ukraine and the European Union, recommendations for optimizing the level of tax burden in Ukraine have been developed. The research was conducted using the following methods: comparative and graphical analysis in determining the state of tax revenues in the EU and Ukraine; scientific synthesis and systematization, a method of comparison in identifying and grouping tools to stimulate Ukraine's tax policy towards European integration.

The object of research is the factors that can directly or indirectly affect the income tax both at the local and macro level. In the study of the dynamics of changes in the income tax in Ukraine, under the influence of various factors, an abstract-logical method is used, which investigated the significant place of the income tax in the national economy of the country. It is obtained that the tax on the profits of enterprises in Ukraine can be characterized as an analogue of the corporate profits tax in the world. This is due to the fact that large taxpayers, of which less than 1 % of legal entities in Ukraine as a whole, are of great fiscal importance, in particular, provide about 55–59 % of income tax revenue in the consolidated budget. Compared with the EU countries from 2011 to 2016, the income tax rate in Ukraine decreased from 25 % to 18 %, although the country's income has not decreased. The share of income tax in GDP, according to statistics, has tended to decline and is approaching the average level in the countries of the Organization for Economic Cooperation and Development. Factors influencing the income tax and current reforms are considered: the size of the tax rate, GDP, expenditures on scientific and technical work, the volume of financial results of production institutions and organizations before taxation, their seasonal characteristics. Profit tax dynamics significantly influenced the economy of the country, its income and cash flows as a result of all tax changes. The system of taxation of profits of enterprises requires further reform to establish the optimal rate of recovery from profits, eliminate unreasonable benefits, integrate the dividend taxation system, and improve administration. Thus, in 2015–2016, the number of reasons for receiving tax benefits decreased by 4 times – to 24 and 22, respectively., Об'єктом дослідження є фактори, здатні прямо або побічно вплинути на податок на прибуток як на локальному, так і макрорівні. В ході дослідження динаміки змін податку на прибуток в Україні під впливом різних факторів використовувався абстрактно-логічний метод, яким досліджено значуще місце податку на прибуток в національній економіці країни. Отримано, що податок на прибуток підприємств в Україні можна характеризувати як аналог поширеного в світі податку на прибуток корпорацій. Це пов'язано з тим, що великі платники податків, яких менше 1 % юридичних осіб в Україні в цілому, мають велике фіскальне значення, зокрема, забезпечують близько 55–59 % надходжень податку на прибуток до зведеного бюджету. У порівнянні з країнами ЄС з 2011 до 2016 року ставка податку на прибуток в Україні знизилася з 25 % до 18 %, хоча дохід країни не зменшився. Частка же податку на прибуток у ВВП згідно зі статистичними даними мала тенденцію до зниження і наближається до середнього рівня в країнах Організації економічного співробітництва і розвитку. Розглянуто чинники, які впливають на податок на прибуток в результаті реформ: розмір ставки податку, ВВП, витрати на науково-технічні роботи, обсяги фінансових результатів виробничих установ і організацій до оподаткування, їх сезонні особливості. Динаміка податку на прибуток істотно вплинула на економіку країни, її доходи і грошові потоки в результаті всіх податкових змін. Система оподаткування прибутку підприємств вимагає подальшого реформування щодо встановлення оптимальної ставки стягнення з прибутку, усунення необґрунтованих пільг, інтегрування системи оподаткування дивідендів, а також удосконалення адміністрування. Так, в 2015–2016 роках кількість підстав для отримання пільг скоротилася в 4 рази – до 24 і 22, відповідно., Объектом исследования являются факторы, способные прямо или косвенно повлиять на налог на прибыль как на локальном, так и макроуровне. В ходе исследования динамики изменений налога на прибыль в Украине под влиянием разных факторов использовался абстрактно-логический метод, которым исследовано значимое место налога на прибыль в национальной экономике страны. Получено, что налог на прибыль предприятий в Украине можно характеризовать как аналог распространенного в мире налога на прибыль корпораций. Это связано с тем, что крупные налогоплательщики, которых меньше 1 % юридических лиц в Украине в целом, имеют большое фискальное значение, в частности, обеспечивают около 55–59 % поступлений налога на прибыль в сводный бюджет. По сравнению со странами ЕС с 2011 по 2016 год ставка налога на прибыль в Украине снизилась с 25 % до 18 %, хотя доход страны не уменьшился. Доля же налога на прибыль в ВВП согласно статистическим данным имела тенденцию к снижению и приближается к среднему уровню в странах Организации экономического сотрудничества и развития. Рассмотрены факторы влияния на налог на прибыль и действующих реформ: размер ставки налога, ВВП, расходы на научно-технические работы, объемы финансовых результатов производственных учреждений и организаций до налообложения, их сезонные особенности. Налог на прибыль существенно повлиял на экономику страны, ее доходы и денежные потоки в итоге всех налоговых изменений. Система налогообложения прибыли предприятий требует дальнейшего реформирования по установлению оптимальной ставки взыскания и устранения необоснованных льгот, оптимизации налоговой базы, а также совершенствования администрирования. Так, в 2015–2016 годах количество оснований для получения льгот сократилась в 4 раза – до 24 и 22, соответственно.

The aim of this paper is to analyse how Spanish taxpayers responded to the introduction of the dual personal income tax model in 2007. The authors estimate the elasticity of taxable income (ETI) with respect to the marginal net tax rate for different groups of taxpayers by sex, marital status and age, separating the substitution effect from the income effect. For the empirical analysis, the authors use microdata from the Spanish personal income tax return panel disseminated by the Spanish Institute of Fiscal Studies. The main results show that the 2007 tax reform resulted in a range of elasticity values from 0.41 to 0.43, while the estimated income effect yields a negative value of -0.18. The results for the different taxpayer groups are as follows: the removal of retired people from the sample significantly reduces the ETI; elasticity is higher for women than for men; single people have a considerably higher elasticity than married taxpayers; and the ETI decreases with age. Additionally, the authors find that the marginal cost of public funds increased after the reform, and the top marginal tax rate is above optimal.

According to the Eurostat the old-age dependency (people aged 65 or above relative to those aged 15- 64) in the EU will rise from 28% in 2010 to 58% in 2060. During the same period total hours works are projected to fall contributing to a low projected economic growth over the next half-century. In this paper we argue that this gloomy picture might be challenged by an increase in the employment rates of older workers. Using Sweden as an illustration we show that the ratio of individuals with income from both pension and market work has increased strongly during the last decade. During the same period economic reforms have been introduced creating economic incentives in order to delay the exit from the labor market. In this paper we demonstrate the importance of these economic reforms in explaining increased working hours. The paper also evaluates the fiscal impact of the increase in the employment rates.

Ability to predict the impacts of proposed tax changes is crucial for effective and transparent tax policy. The ex-ante impact evaluation of proposed changes is in the Czech Republic part of the Regulatory Impact Assessment process and assumed effects are published within the reasoning reports to the amendment laws. We use the top-down approach to calculate ex-post the impacts of the most significant changes in personal income tax and contribution on obligatory insurance on public revenues and compare the results with forecasted effects from reasoning reports. We use data for the period of 1994 to 2014 and create three models to quantify the impact on personal income tax revenue, social security contribution and health insurance contribution. The results show the tendency to underestimate real effects about a third to a half when calculating the projected impact on public revenues. For more accurate estimations we recommend higher transparency in presented methodology within the Regulatory Impact Assessment process and evaluation by independent institution for changes with significant impact.

One of the major challenges while computing tax liability is determination of income. Dilemma arises when identifying which item has to be treated as chargeable and which is not. Income computation and disclosure standards are more efficient than any other standards which help to ascertain accurate income for the computation of tax amount and it reduces deviations between taxable income and accounting income. The organization doesn’t require to maintain any additional books of accounts while computing taxable income by using ICDS but the major condition is, the income must be generated from the ‘Profits and gains of business and professions (PGBP)’ and ‘Income from other sources (IFOS)’. The present study is focusing upon the impact of ICDS on key areas of business transactions and it tries to give a clear picture about ICDS. It’s a descriptive study purely based on secondary data.&nbsp

En el presente documento se analiza las exenciones tributarias en Colombia, con respecto al impuesto de renta y el impuesto al valor agregado IVA y su influencia en el indice de Gini, el desarrollo economicosocial del estado y asumir si Colombia va en un buen crecimiento económico. La desigualdad con relación al sistema político fiscal,después observamos los cambios en el régimen tributario, en las leyes y discriminamos los impuestos del IVA y renta. Finalmente estudiamos las exenciones de cada uno y la posible aplicabilidad de mejores practicas. In this document the tax exemptions in colombia are analyzed, with respect to the income tax and value-added IVA, and its influenceon the Gini index, the economic and social developent of the state and assuming if colombia is in good economic growth.inequality in relation to the tax system, them we observe the changes in the tax system in the laws and we discriminate the IVA and income taxes.Finally, we study the exemptionsof each one and the possible applicability of the best practices.

El presente trabajo tiene como objetivo analizar teórica y prácticamente la razón por la cual la capacitación representa en la actualidad una inversión de corto y mediano plazo que enriquece el capital humano en las organizaciones de la sociedad del conocimiento del siglo XXI. Se propone una metodología de impacto para empresas de servicios como las del Sector Salud, cuyas condiciones de trabajo (al igual que otros servicios) no siempre favorecen o garantizan una capacitación exitosa. El capacitador debe enfrentar las actitudes negativas de las personas, quienes se presentan desmotivadas, con la tendencia de culpar al nivel directivo de las situaciones adversas, con una falta de disposición a la capacitación, con rechazo por tener que realizar este proceso a contra turno o utilizando un 50% de su tiempo libre. Son circunstancias que impiden, en la mayoría de los casos, llegar al cumplimiento de los objetivos programados. En nuestro país, existe la obligatoriedad legal, dada por la Constitución Política y por la Ley Federal del Trabajo, de aplicar Programas de Capacitación. Esto con el fin de proteger al trabajador de un despido por inadecuado desempeño, causado por la falta de capacitación y actualización en su trabajo. No siempre se tiene plena consciencia de ello., {"references":["Deloitte Consulting LLP y Bersin por Deloitte. (2014). Tendencias globales del capital humano 2014. Comprometiendo a la fuerza laboral del siglo XXI. Reino Unido: Deloitte University Press.","Arias, F., & Heredia,V. (2006). Administración de Recursos Humanos para el alto desempeño. México: Trillas.","Constitución Política de los Estados Unidos Mexicanos. (2017). México: Berbera Editores","Definición mx. (04 de Agosto de 2016). Definiciones, capital humano. Obtenido de VíaDefinición.mx:http://definicion.mx/capital-humano/","El Financiero. (21 de agosto de 2015). El Financiero.com.mx. Obtenido de http://www.elfinanciero.com.mx/economia/sector-servicios-principal-motor-del-crecimiento-economico.html","NEGI. (28 de Julio de2015). cuentame.inegi.org.mx. parque servicios. Obtenido de http://cuentame.inegi.org.mx/economia/parque/servicios/i_servicios.pdf","Ley Federal del Trabajo. (2016). México: Berbera Editores","Macías, M. (03 de Agosto de 2016). Guía de capacitación. La capacitación en la Empresa del siglo XXI. Obtenido de http//www.guiadecapacitacion.com/Articulos-Destacados/la-capcitacion-en-la-empresa-del-siglo-xxi.htm1","OCDE. (ENERO de 2015). Estudios económicosde la OCDE México. Obtenido de http://www.oecd.org/economy/surveys/Mexico-Overview-2015%20Spanish.pdf","Pérez Paredes, A., Torralba Flores, A., & D., M. Á. (2016). Fracaso Emprendedor, como experiencia de aprendizaje para empresarios. GEON,4 (2).","Rodríguez, J., & Morales, S. (2008). La capacitación en las organizaciones modernas. Synthesis. Punto de vista,2.","Ruiz, X. (2016 de Agosto de 2016). Blog Grandes Pymes. Obtenido de http://www.grandespymes.com.ar/2012/11/11/importancia-de-la-capacitacion-como-herramienta-del-siglo-xxi/"]}