Wybrane uwarunkowania stosowania metody eksperymentalnej do badania podatków dochodowych

PurposeThis study is the first attempt to analyze the effectiveness of recent two major tax policies, the reductions in personal and corporate income taxes and a rise in indirect tax and their combine, under both balanced and unbalanced budget conditions, on the economy and social aspects of Malaysia.Design/methodology/approachThis study uses a computable general equilibrium model to investigate the impacts of all simulation scenarios on the key macro and micro indicators. Further, based on the 2012 Malaysia Household Income and Expenditure Survey, it uses a micro-data with a significant number of households (over 56,000 individuals) to analyze the impacts of tax policies on poverty and income inequality of Malaysian.FindingsSimulation results show that, under the balanced budget condition, personal and corporate income tax reductions increase economic growth, household consumption, and investment, while the rise in indirect tax has adverse impacts on these variables. However, in the unbalanced budget condition, all tax policies, except indirect tax policy, reduce real GDP and investment in the economy and the indirect tax policy has insignificant impacts on all indicators. All policy reforms reallocate resources, especially labor, in the economy. In both budget conditions, the reductions in corporate and personal income taxes, particularly the corporate income tax, decrease poverty level of Malaysian households. Results also indicate that both tax policies are unable to influence income inequality in Malaysia.Social implicationsThis study recommends that the government can increase its revenue by increasing indirect taxes as it does not have any impact on household welfare. In order to increase government revenues, initial increases in personal and corporate income taxes are suggested as they may have small negative impacts on the economy and welfare of households.Originality/valueOne of the significant features of this paper is that it examines both expansionary and contractionary fiscal policies in a country that government budget depends on oil exports. Since the literature on this subject is limited, particularly in the Malaysian context, the authors used Malaysia as a case to show how tax reform policies affect the economy and poverty level of such countries. Distinguishing the Malaysian households into 10 deciles and analyzing the distributional impacts of tax policies on these categories are the most significant contributions of this study.

Despite rising federal income tax rates, verging on pre-emption of the income tax field during the war years,' state governments have been able to report a gradual increase in personal and corporate income tax revenue since 1933. State income from this source has risen from $153 million in 1932 to $1,084 million in 1948. The income tax has bettered its position in relation to all other state taxes. In 1932 income tax collections contributed 8 per cent of the total state tax revenue; by 1948 personal and corporate income taxes provided 14 per cent of total state tax revenue (including the unemployment compensation tax). A partial explanation for the increase in revenue derived from income taxation is the fact that 13 states adopted personal or corporate income taxation or both between 1933 and 1938.2 The steady growth of the national income since 1933, however, is primarily responsible for the advance in state income tax collections. It is against this background of rising national income that the comparatively insignificant role of the state income tax and the growing federal domination of the income tax field are most sharply revealed. (See Chart 2.) Any analysis, therefore, of recent trends of state income tax revenue must of necessity take into account the relationship to the federal income tax. In striking contrast to federal income tax experience the increase in state income tax since 1933 has barely kept pace with the growth of the national income. In fact, from 1942 to 1945 state income tax collections declined in relation to national income payments. Downward revisions of the personal income tax contributed to this relative decline of state income tax revenue. Confronted with treasury surpluses during the war, several state legislatures acceded to demands for tax relief in view of the mounting federal income tax rates. New York led the way with a 25 per cent personal income tax reduction in 1942. West Virginia and South Dakota repealed their personal income tax laws in 1943. In the same year the Wisconsin state legislature failed to extend the temporary 60 per cent surtax on individual income; California and Oregon reduced personal rates substantially; and Iowa and Maryland decreased the taxpayer's liability by granting liberal tax credits.3

TAX REFORM has been a major priority of microeconomic policy during the process of economic transition in Central and Eastern Europe. In the Czech Republic, a fundamental restructuring of the tax system took place from the start of 1993, introducing a tax system broadly in conformity with taxation practice in Western Europe. The new system includes personal and corporate income taxes, a value added tax of the type operated by EU member states, and excise duties on a limited number of commodities, including motor fuels, alcohol and tobacco.' This article considers the reasons for tax reform and the consequences of the particular measures adopted, focusing on the case of one component of the Czech reform, the personal income tax. Compared with personal income taxes in Western Europe, this now raises relatively little revenue; indeed, the new income tax actually raises a smaller proportion of fiscal revenue than the old system of income taxes which it replaced. The article attempts to evaluate the reasons for changing from the earlier system, and to show the role played by the new income tax within the overall Czech fiscal system2 We concentrate on an analysis of the old and new personal income taxes because this raises interesting questions about the relative incentive, distributional and revenue-raising properties of the two systems. While we have something to say about indirect taxation, the sheer complexity of the old turnover tax system makes a similar comparative analysis, based on formal modelling and microsimulation, uneconomic, if not unfeasible. For example, in 1989 there were 1506 turnover tax rates, varying from -291% to + 88%: a system one Czech economist described as 'chaotic'.3 The article is in four main parts. The first discusses the priority which has been given to tax reform in the process of economic transition, and the objectives and constraints which have dictated the pattern of tax reforms which have been undertaken. We then provide a quantitative assessment, based on household microdata from the Czechoslovak household budget survey, of the structure of income taxation and the impact of income tax reform in the Czech case. First we describe the pattern of household income tax payments under the highly differentiated pre-1993 CSFR tax system, and show that much of the complexity of the pre-1993 system, including the different allowances and marginal rates of tax for different groups of taxpayersaccording to age, marital status, gender, disability and dependants-achieved little

In Poland, local government shares in personal income tax (PIT) and corporate income tax (CIT) are included in their own revenues. Along with the increasing scope of own tasks implemented by the municipalities, which was the effect of advancing decentralization, the legislator granted to municipalities’ larger part of PIT and CIT taxes collected on their territory by the budget. This analysis is aimed at examining the significance of shares in PIT and CIT constituting the revenues in all Polish urban municipalities in the years 1996–2014. The conducted analysis of data from the years 1996–2014 shows the existence of significant differences between the urban municipalities in Poland in the scope of acquired shares in PIT and CIT. This diversity has its basis both in different tax bases of the urban municipalities in PIT tax and CIT tax. However, while the CIT tax plays a small role in the budget revenues of most municipalities, in the case of PIT its share in general revenues can be recognized as relatively significant. By examining changes in the scope of scale of funding the urban municipalities with above-mentioned revenues, it can be noted that despite the increase in the percentage rate of share in the case of PIT, the share of this type of revenue in the budgets of municipalities did not increase in significant manner.

Studies to date show that taxes have a very high impact on company liquidity (Law & Yuen, 2019; Drogalas, Lazos, Koutoupis, & Pazarskis, 2019). The International Monetary Fund (IMF, 2022) shows the need to release tax procedures and their monitoring in the Republic of Kosovo. Kosovo law is such that it disables the timely liquidity of construction companies which has an impact on the reduction of construction companies’ projects. The main purpose of this paper is to describe the effects of changing the tax laws, namely the law on corporate income tax, personal income, and value-added tax (VAT) on the liquidity of construction companies in Kosovo. For this paper, we employ survey data collected from accountants and financial managers who through the questionnaire have reflected on the need to change the law on personal income, corporate income, and VAT. The models for measuring latent variables are structural equation models 1 and 2 (SEM1 and SEM2) and the ordinary least squares (OLS) models. The empirical results of the SEM1 and first OLS model (OLS1) reveal that the current law on corporate income tax and the law on personal income tax have negative effects on the liquidity of construction companies in the Republic of Kosovo and the empirical results from the SEM2 and second OLS model (OLS2) show that the current law on value-added tax has significant negative effects on the liquidity of construction companies in the Republic of Kosovo.

ABSTRACTFor a long time, governments relied heavily on trade taxes as the main source of public finance, and for some countries, mainly less developed ones, they still account for a large share of revenue. Yet, with trade liberalization, governments have been forced to abandon these easy-to-collect taxes and to adopt modern hard-to-collect taxes, mainly internal income and consumption taxes. Surprisingly, we know little about how governments across the world have addressed this common challenge. In this paper, we analyze the rise of the most important present taxes: the personal and corporate income tax, the general sales tax and the value-added tax. Based on a self-coded dataset, we provide a historical-descriptive outline of the expansion of modern taxes since 1842 and test the effect of trade liberalization on the probability to adopt hard(er)-to-collect taxes. While trade is an important determinant for the legislation of modern taxes, we find that its influence is not universal but depends on the tax type. Only the personal income tax and the value-added tax have served as a revenue substitution to trade taxes, while the general sales tax and the corporate income tax were rather fueled by other factors such as spending pressures.

How tax reform affects corporate financial decisions helps determine whether reform will increase capital formation and simplify the tax system. This paper describes the effects of fundamental tax reform on corporate tax planning and summarizes economists' knowledge of the magnitude of these effects. We analyze income tax reform, consisting of integrating corporate and personal income taxes, and moving to a broad-based consumption tax. As prototypes of reform, we use the U.S. Treasury's Comprehensive Business Income Tax proposal for income tax reform and the Flat Tax for consumption tax reform. The critical difference between these reforms is that the consumption tax gives firms immediate deductions for capital outlays instead of the depreciation allowances of the income tax. Tax reform can affect organizational form, capital structure, and timing decisions. Our major theme is that the two types of reform will have similar effects on business financial decisions because they both integrate corporate and personal income taxes. Both reforms eliminate the tax differentials between corporate and noncorporate businesses and between debt and equity financing. Since both reforms eliminate investor-level taxes on financial assets, they reduce the effects of taxes on timing decisions associated with financial assets, such as the timing of corporate dividends. How taxes affect these financial decisions have important implications for the incidence of the corporate tax. These reforms also greatly alter the current incentives for tax-motivated financial planning.

How to Focus Corporate Income Tax Competition on Mobile Business Activities?

Purpose - Assessment of the willingness of municipalities to use the tax authority granted to them, in the scope of using local tax policy instruments in the field of real estate taxation, as a consequence of changes in personal income taxation. Research method - The fiscal effects of changes in tax law were assessed based on an economic analysis of the law. Descriptive statistics measures were used to analyse changes in revenues from taxation of personal income and the size of the loss of revenues due to tax expenditures in revenues from real estate taxation. A critical analysis of the literature on the subject was carried out. The empirical study covered all municipalities in Poland. The data was obtained from budget reports Rb-27S and SP-1 for 2019–2023. Results - The analysis of changes in the Personal Income Tax Act enables to determine that in the last two decades, what has had the most significant impact of tax law changes on municipalities' revenues was the introduction of the Polish Deal in 2022. It was found that in addition to changes in tax law in 2019–2023 the fiscal importance of municipalities’ shares in personal income tax revenues in 2019–2023 depended on the economic situation, particularly in revenues from taxation of personal income from business activities. Significant differences were found in the willingness to use tax expenditures within real estate taxation policy depending on the municipality type. In particular, the type of tax expenditures provided by cities with county rights was specific. Especially in the years 2020–2023, tax exemptions were more critical concerning reducing tax rates in real estate tax. Originality / value / implications / recommendations - An original approach to analysing municipalities’ decisions regarding real estate taxation policy was projected, assuming the impact on local tax policy of decisions of central authorities, independent of municipalities, regarding the taxation of personal income. The adopted assumptions allow for an In-depth analysis of the effects of central government tax policy by identifying the variances in the reactions of local government authorities in the field of real estate taxation.

In a research paper, the authors provide an empirical approach to taxes and economic growth in the United States in the period 1996-2016. The basic goal is to explore how taxes affect economic growth. The subject of the research is measuring the effects of tax revenue growth and tax form as a personal income tax, corporate income tax and social security contributions on gross domestic product as a proxy for economic growth. Methodology framework includes several tests to clear the potential problem of heteroscedasticity, autocorrelation, multicollinearity and specification of the model. Based on diagnostic tests, a regression model is adequately created where fundamental econometric procedures are applied. Correlation matrix reflects a strong and positive relationship between tax revenue growth and corporate income tax on the one side and gross domestic product growth, on the another side. Also, personal income tax and social security contributions are weakly related to gross domestic product growth. The model shows a significant effect of tax revenue growth and social security contributions, while personal income tax and corporate income tax do not have a significant impact on gross domestic product growth. Interestingly, personal income tax as the main tax form in the tax structure of the United States has no significant impact on economic growth compared to social security contributions which percentage share is lesser.

The Impact of Corporate and Personal Income Taxes on the Location of Firms and on Employment: Some Panel Evidence for the Swiss Cantons

Do Personal Income Taxes Affect Corporate Tax-motivated Profit Shifting?

In China, tax is the main source of government revenue, which promotes the harmonious development of the national economy and plays an important role as an economic lever regulator in the process of economic operation. It is mainly reflected in the market economy system. The government can optimize the allocation of resources, adjust the economic structure and adjust the income distribution by collecting taxes. It can be seen that tax revenue is a necessary condition to ensure the healthy and good operation of the market economy and promote the continuous progress of society. Reasonable tax planning is based on scientific tax forecasting methods. Therefore, under the new situation, we must abandon the traditional base method to formulate tax planning, consider various tax modes on the basis of big data, and study a logical, efficient and accurate advanced tax forecasting method as soon as possible. This paper mainly studies the prediction and analysis method of tax categories based on big data technology. This paper puts forward the principle of tax forecast analysis for the prediction of tax revenue, expounds the role of tax forecast methods, and correctly grasps the dynamic changes by reasonably estimating the future tax revenue, which is of great value for the government to issue tax policies and formulate tax plans. In this paper, through data mining technology to understand the main types of tax, and the representative tax system method of this paper is analyzed, the results of the typical business tax, enterprise income tax and individual income tax in recent three years are compared with the actual results of the year, and the feasibility of the representative tax system method is analyzed. The experimental results show that the error of representative tax system is not high in enterprise income tax, and it needs to be improved in personal income tax and business tax. In terms of business tax, the error between actual business tax and predicted business tax in recent three years is about 5.22%; in terms of enterprise income tax, the error between actual business tax and predicted business income tax in recent three years is about 3.64%; in terms of individual income tax, the error between actual personal income tax and predicted personal income tax in recent three years is about 5.93%.KeywordsTax revenueTax categoryForecast analysisBig data

What Does it Cost Society to Raise a Dollar of Tax Revenue? The Marginal Cost of Public Funds

Tax rate changes are some of the most significant and far-reaching decisions a government can take. A good understanding of the odds of any such changes is essential for any business debating the timing and location of investments. This paper investigates the factors that affect the timing of statutory tax rate changes by Canadian provincial governments. The authors develop a simple theoretical model to explain the “stickiness” of tax rates — the factors that lead a province to decide against tinkering with the tax system — based on the presence of fixed costs of adjusting tax rates. The results indicate that if the current rate falls within a range of tax rates bracketing the optimal rate, then the government will not adjust its tax rate because the cost of the reform outweighs the potential benefits. To build up a body of evidence, this paper employs a multinomial logit model to examine the likelihood of changes to personal income tax (PIT), corporate income tax (CIT), and provincial sales tax (PST) rates by provincial governments over the period 1973-2010. Regression results indicate that provincial governments that start with higher tax rates are more likely to cut, and less likely to raise, their tax rates. A higher provincial budget deficit reduces the probability of a CIT rate cut and raises the probability of a PST rate increase. Party ideology seems to matter. Provinces with leftleaning governments are less likely to cut PIT and PST rates, and more likely to raise PIT rates compared to non-left-leaning governments. The authors also find that a federal PIT rate cut raises the probability of a provincial PIT rate increase, whereas a federal CIT rate cut raises the probability of a provincial CIT rate reduction.