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What has the author Thorsten Drautzburg written?
Thorsten Drautzburg has written: 'Fiscal stimulus and distortionary taxation'
What is the role of taxation in development?
The role of taxation in development is controversial. Taxation provides income for the government which may use it to invest in public services or to distribute it as money transfers. At the same time all taxes except for lump sum are distortionary meaning that the taxes changes the behavior of people. It is commonly claimed that tax and especially income tax inhibits productive behavior and thereby growth and poverty reduction. This claim is based on the theoretical assumption that the supply of labor is a positive function of the real wage after tax. The empirical evidence on this claim is ambiguous.
What are the characteristic of a tax?
1) Equity- Taxes should be fair, and certain taxes should be given to taxpayers with similar characteristics. Could be on ability to pay. Example: Height tax is unfair.2) Non-Distortionary- Taxes should not affect economic behavior. For example, they should not be so high that they discourage people from working.3) Certainty- People and firms should know when a tax should be paid (and how much). Taxes should be stable, so that people and firms can plan their finances.4) Convenience- It must be simple and easy for people and firms to pay their taxes on a regular basis. For example, income taxes are collected by employers on a monthly basis from the salaries of the workers.5) Simplicity- Taxes should be simple to understand. If they are too complicated, calculating the tax owed might be difficult.6) Administrative Efficiency- Taxes should be cheap (and easy) to collect. There is no point in introducing a tax that costs more to collect than it generates in revenue.
What Are characteristics of Good Tax system?
1) Equity- Taxes should be fair, and certain taxes should be given to taxpayers with similar characteristics. Could be on ability to pay. Example: Height tax is unfair.2) Non-Distortionary- Taxes should not affect economic behavior. For example, they should not be so high that they discourage people from working.3) Certainty- People and firms should know when a tax should be paid (and how much). Taxes should be stable, so that people and firms can plan their finances.4) Convenience- It must be simple and easy for people and firms to pay their taxes on a regular basis. For example, income taxes are collected by employers on a monthly basis from the salaries of the workers.5) Simplicity- Taxes should be simple to understand. If they are too complicated, calculating the tax owed might be difficult.6) Administrative Efficiency- Taxes should be cheap (and easy) to collect. There is no point in introducing a tax that costs more to collect than it generates in revenue.
What are the four taxes that our governments collect?
Sales tax Income tax Property tax Inflation tax Inheritance tax Poll tax Social Security tax Tariff tax Wealth Tax Financial transaction tax Expatriation tax Currency transfer tax Environmental tax Capital gains tax Bank tax
What is the tax for California?
There are all sorts of taxes in California: income tax sales tax property tax cigarette tax liquor tax estate tax gambling tax and hundreds of others.
Is wealth tax a direct tax or indirect tax?
direct tax
How do you find the tax rate if you have the pre tax and after tax profit?
After Tax Profit = Pretax Profit * (1 - Tax Rate) Solve for Tax Rate Tax Rate = 1 - (After Tax Profit/Pretax Profit)
A tax on perfume is what kind of tax?
A tax on perfume is an excise tax. An excise tax is an in-country, or inland, tax on a specific good produced for sale. If the tax is on the perfume as it is imported, it is a customs duty or border tax.
What tax is not a direct tax?
sales tax
Is city tax local tax?
Yes, city tax is local tax.
Is toll tax direct OR indirect tax?
Toll tax is a direct tax
