Documents capital tax 19 results

"This document examines optimal capital taxation with wage-setting labour unions when the government taxes consumption, labour, and capital. The results are as follows. If unions can commit themselves to particular wages for a long period, then there is no hold-up problem. Otherwise, the hold-up problem creates a positive link from capital accumulation to the wage. The optimal labour subsidy is positive and greater in the presence than in the absence of the hold-up problem. The optimal capital subsidy is zero in the absence, but positive in the presence of the hold-up problem."

"This paper considers the role of capital gains taxation in enhancing tax progressivity, and argues that capital gains are the Achilles' heel of taxing the rich more effectively. We revisit the key aspects of how capital gains are taxed and address the main arguments against taxing capital gains more heavily: (i) it would discourage socially beneficial activities, such as innovation, (ii) implementing structural changes is unadministrable, and (iii) the ‘lock-in' effect means that increasing the tax rate is an inefficient way to raise revenue. To address concerns with the unpopularity of taxing unrealized gains during one's lifetime and retroactive taxes, we conclude with a partial proposal for constructive realization at death that would apply only to gains accrued after a certain date, while allowing for discounted pre-payments of tax liability."

"In this paper I discuss what can be learned about ‘trickle-down' ideas from recent empirical evidence on tax incidence, or the effect of tax policies on the distribution of welfare. I underscore three lessons. First, recent research suggests that business income taxes affect the earnings of workers, but these effects largely derive from taxing rents and rent-sharing, highlighting the importance of these channels for determining the ultimate incidence. Second, when workers are affected by these taxes, the burden is not borne equally by all workers, but predominantly by those at the top of the earnings distribution. Third, across different tax policies that statutorily affect the rich, the burden is largely borne by the rich, but heterogeneity in responses across tax incentives and taxpayers provides context for incidence analyses. Throughout, I discuss the value of analysing heterogeneous responses, particularly how tax incidence depends on labour markets, product markets, and tax systems."

"This paper reviews recent developments in the theory and practice of optimal capital taxation. We emphasize three main rationales for capital taxation. First, the frontier between capital and labour income flows is often fuzzy, thereby lending support to a broad-based, comprehensive income tax. Next, the very notions of income and consumption flows are difficult to define and measure for top wealth holders where capital gains due to asset price effects dwarf ordinary income and consumption flows. Therefore the proper way to tax billionaires is a progressive wealth tax. Finally, as individuals cannot choose their parents, there are strong meritocratic reasons why we should tax inherited wealth more than earned income or self-made wealth for which individuals can be held responsible, at least in part. This implies that the ideal fiscal system should also include a progressive inheritance tax, in addition to progressive income and wealth taxes. We then confront our prescriptions with historical experience. Although there are significant differences, we argue that observed fiscal systems in modern democracies bear important similarities with this ideal triptych."

"This paper discusses trends in capital taxation and the role of the corporate tax rate in a welfare state. It provides a summary of the tax competition literature with special application to capital taxation in small versus large countries. A main finding from this literature is that small countries set lower taxes on capital than large countries. In line with this prediction the paper shows that the Nordic countries undertook tax reforms in the 1990s, which lead to lower ratios of statutory corporate to wage taxes than in most OECD countries. The second part of the paper is devoted to tax base erosion by multinationals and how to combat it. Finally, the paper offers some concluding remarks on redistribution and the pressures of tax competition."

"This report contains a detailed statistical and economic analysis of the tax systems of the Member States of the European Union and Norway. The data are presented within a unified statistical framework (the ESA95 harmonised system of national and regional accounts), which makes it possible to assess the heterogeneous national tax systems on a fully comparable basis. The standard classifications of tax revenues (by major type of tax or by level of government) presented in most international tax revenue statistics are hard to interpret in economic terms. This publication stands out for offering a breakdown of tax revenues by economic function (i.e. according to whether they are raised on consumption, labour or capital). This classification is based on disaggregated tax data and on a breakdown of the revenue from the personal income tax. In addition, the report contains indicators of the average effective tax burden on consumption, labour and capital. Country chapters give an overview of the tax system in each of the 28 countries covered, the revenue trends and the main recent policy changes. Detailed tables allow comparison between the individual countries and European averages. Data cover the 1995-2007 period and are presented both as a percentage of GDP and as a percentage of total taxation."

"Die Besteuerung des Bestands und des Übergangs von Vermögen ist in Österreich im internationalen Vergleich sehr gering und hat im Zeitablauf an Bedeutung verloren. Damit weicht die Entwicklung in Österreich deutlich vom europäischen Trend ab. Die geringe Bedeutung der Vermögensbesteuerung spiegelt sich in den mangelhaften Informationsgrundlagen zur Erfassung der Vermögen in Österreich wider. Nach den aktuellsten Schätzungen des Vermögensbestands beträgt das Nettovermögen in Österreich mehr als das Viereinhalbfache des BIP. Durch das Aussetzen der Hauptfeststellung zur Festlegung der Einheitswerte seit Anfang der 1970er Jahre weichen die Verkehrswerte und die steuerlichen Bemessungsgrundlagen zunehmend voneinander ab. Der vorliegende Aufsatz legt den Fokus auf einen speziellen Aspekt der vermögensbezogenen Besteuerung: auf die bessere Erfassung von Grund- und Immobilienvermögen. Es werden einige Vorschläge zur Reform der Bewertung von Grundvermögen sowie darüber hinausgehend für eine Reform der Erbschafts- und Schenkungssteuer gemacht. Weiters werden die Aufkommenspotenziale für die Grundsteuer sowie die Erbschafts- und Schenkungssteuer dargestellt, die sich aus einer an Verkehrswerten orientierten Besteuerung von Grund- und Immobilienvermögen ergeben. Die Aktualität des Aufsatzes ergibt sich daraus, dass der Verfassungsgerichtshof aktuell die Bewertung inländischer Liegenschaften für erbschafts- und schenkungssteuerliche Zwecke prüft. Die zu erwartende negative Bewertung löst daher in naher Zukunft gesetzgeberischen Handlungsbedarf in Bezug auf die Bewertung von Grund- und Immobilienvermögen aus."

"Dans les années 70, l'économiste américain James Tobin, Prix Nobel d'économie, a proposé d'établir une taxe sur les transactions sur les marchés des changes afin d'en réduire la volatilité et de pénaliser les opérations spéculatives. Les Krachs financiers des pays d'Asie de 1997, les menaces de retrait de capitaux des pays d'Amérique latine et les échecs essuyés par le Fond Monétaire International de 1998, ont relancé le débat sur la nécessité de ré-établir des contrôles sur les système financier international, notamment en instituant une taxe du type proposé par Tobin. Une association très dynamique, ATTAC s'est créee pour défendre cette idée. Une taxe sur les transactions est-elle réalisable ? Suffirait-elle pour endiguer la spéculation et remettre la finance au pas ?"