Fiscal strategic interaction is a recurrent topic of recent economic literature. This short paper describes a database created as an instrument to analyze such interactions between Italian municipalities in local…
Taxes
You can find here links of interest and statistical data about French taxation and debt.
The Heritage Foundation launches a campaign against the dreaded estate tax (also known as the “death tax”) in the US. In the coming weeks, Congress will once again take up debate on the death tax, which expires for one year, beginning on January 1, 2010, before coming back in full force on January 1, 2011. Some in Congress are eager to prevent the death tax from expiring for even one year. Those that don’t want the tax to die will likely argue for a one-year extension of the tax at its current rate and exemption levels.
Twenty four countries in the world have already adopted the flat tax. The taxe rate is going from 10% (in Bulgaria, Albania, Kazachstan and Mongolia) to 25% (in Litva and Jamaica). One of IREF’s main proposals is to introduce a 15% flat tax in France.
This study is realized by Ludger Schuknecht, economist at the European Central Bank. He is making the case for the return to healthy and sustainable public finances. In that perspective, the authors identifies four central issues.
First, deficits and debts must be returned to a sustainable path. In many countries, deficits will need to fall by one percentage point of GDP per year and in some by much more. Even then, a balanced budget would only be reached in about 2015 for the average of the euro area and even later in the U.K.
Super Size It? A Rationale Against Feeding the Leviathan – Julia Toser
The threat of fiscal harmonization – Massimiliano Trovato
“An Economic Rationale for the Net Wealth Tax – Does It Exist?”- Jan Schnellenbach
“Taxonomy of Wealth Taxes” – Philipp Bagus
“Because that’s where the money is!” – Daniel Pellerin
As opposed to a graduated or a progressive tax, the “flat tax” is proportional, that is to say a same rate applies for all classes of income and all entities with a class. Flat tax means the end of discrimination according to income or corporate revenues. This scheme is currently discussed in United States to simplify the old tax code; it is already in use in other countries like Russia, Estonia, or Slovaquia.
The famous book on the flat tax written by Hall & Rabushka is finally available for the French readers. IREF edited the French version of the book in cooperation with Contribuables Associés.
This paper from Curtis S. Dubay from the Heritage Foundation investigates the new taxes US government is about to impose, in order to finance Obama’s health care reform. Higher Medicare taxes would push the top average marginal tax rate even higher than already scheduled. Currently, the top federal tax rate is 35 percent, but President Obama has proposed to allow it to increase to 39.6 percent. In addition, the House of Representatives’ version of health care reform includes a 5.4 percent surtax on incomes over $500,000 a year.