scholarly journals Life-Cycle Welfare Costs of Social Security

1981 ◽  
Vol 9 (2) ◽  
pp. 123-142 ◽  
Author(s):  
Richard V. Burkhauser ◽  
John A. Turner
Keyword(s):  
Social Security ◽  
Income Tax ◽  
Personal Income ◽  
Personal Income Tax ◽  
Present Value Model ◽  
Potential Gain ◽  
The Social ◽  
Earnings Test ◽  
Social Security Earnings Test ◽  
Value Model

One-period models predict that a substantial welfare gain would result from removing the social security earnings test. In this article, we show that such models overestimate the size of potential gains. If one uses instead a two-period model, which captures intertemporal effects, the net result of removing the earnings test is ambiguous. In the presence of a personal income tax, workers who reduce their labor supply in the first period create a welfare loss which must also be considered. We use a present value model to estimate the change in lifetime welfare. We find that the net potential gain from removing the earnings test is probably small, especially when compared to the alternative of an increased personal income tax.

The Role of Personal Income Tax to Mitigate Widening Income Inequality: the Case of Japan

2007 ◽  
pp. 55
Author(s):  
Ejii Tajika ◽  
Hiroyuki Yashio
Keyword(s):  
Social Security ◽  
Low Income ◽  
Household Income ◽  
Income Tax ◽  
Personal Income ◽  
Tax Credits ◽  
Personal Income Tax ◽  
The Social ◽  
Micro Simulation

The Japanese personal income tax system has been designed to mitigate the tax burden by granting generous deductions and by employing a steep marginal tax curve. The failure of it is that the combined burden of tax and social-security contributions of low-income people has not been dealt with. The purposes of this article are twofold: first, to show that the social-security burden is in fact higher than the tax liability for most of the working population, and second, to show that it is possible to mitigate the burden by introducing refundable tax credits. Results of micro-simulation using a survey of household income are presented to show the combined tax and socialsecurity burden of families of various income classes.

On the Issue of Progressive or Proportional Taxation of Personal Incomes

2018 ◽  
Vol 11 (3) ◽  
pp. 114-120
Author(s):  
D. G. Chernik
Keyword(s):  
Income Tax ◽  
Personal Income ◽  
Personal Income Tax ◽  
The Social ◽  
Social And Economic Development ◽  
The Subject ◽  
Discrete Measures ◽  
Personal Income Taxation ◽  
Personal Taxation ◽  
Personal Incomes

The subject of the research is the procedure for personal income taxation. The purpose of the workwas to determine which personal taxation regime is more justified: progressive or proportional. The paperprovides the reasons for the transition from the progressive to the proportional tax. The risks and possibilities of transition to the progressive scale are analyzed. It is concluded that in order to achieve social justice and improve the welfare of the majority of peoplerather thana very small part of them, it is necessary to adopt a set of economic, fiscal and administrative measures aimed at solving a single task — ensuring the social and economic development of Russia. Discrete measures, such as the introduction of the progressive personal income tax will not lead to desired results. Moreover, the progressive tax cannot be introduced unlessit is ruled by law that large spendings of citizens must correspond to their incomes.

scholarly journals Personal Income Tax and Social Security Coordination in Cross-Border Employment – a Case Study of the Czech Republic and Denmark

2019 ◽  
Vol 21 (1) ◽  
pp. 23-41 ◽  
Author(s):  
Jana Tepperová
Keyword(s):  
Social Security ◽  
Income Tax ◽  
Personal Income ◽  
Personal Income Tax ◽  
The Czech Republic ◽  
Cross Border ◽  
Social Security Contributions ◽  
The Impact ◽  
The Eu

Neither personal income tax nor social security is harmonised within the EU. Social security systems are coordinated at EU level whereas personal income tax in cross-border situations is governed by respective double tax treaties. In most EU countries, personal income tax and social security contributions are relatively distinct payments. This article examines problems surrounding the interaction between personal income tax and social security contributions on a national and international level based on a case study of cross-border employment between the Czech Republic and Denmark. As the Czech and the Danish systems are designed very differently, the case study allows for clear illustration of the issue at-hand. The aim is to identify the elements influencing the impact of different coordination rules in personal income tax and social security contributions, illustrate and discuss the potential problems of such mismatches between the two payments. The impact on final payments differs, not only due to the different levels of coordination of the payments, but also due to the different designs of the two national systems. Thus, it would be very difficult to address all the scenarios with a one size fits all measure for all the EU Member States that would overcome the differences in this coordination.

Qualitative employment relationships for Ph.D. students in the EU?

2020 ◽  
Vol 11 (1) ◽  
pp. 48-65
Author(s):  
Petra Foubert ◽  
Alexander Maes ◽  
Michelle Wilms
Keyword(s):  
Social Security ◽  
Income Tax ◽  
Teaching Assistants ◽  
Parental Leave ◽  
Personal Income ◽  
Personal Income Tax ◽  
Employment Relationships ◽  
Social Contributions ◽  
Speed Up ◽  
Social Security Benefits

This contribution intends to shed light on the working conditions of Belgian and Italian Ph.D. students, from the angle of EU law. In Belgium these (mostly young) researchers can be recruited either as ‘Ph.D. fellows’ or ‘teaching assistants’. Ph.D. fellows have a student-like status: they touch a fellowship exempt from personal income tax. However, social contributions are being withheld, for them to enjoy social security benefits and build up pension rights. Teaching assistants have an employee-like position: they receive a salary which is subject to personal income tax as well as to social security contributions. In Italy, Ph.D. students have a standard student-like status, comparable to Belgian Ph.D. fellows. The working hypothesis is that the pressure that (Belgian) universities experience to speed up research efforts (and outcomes) does not necessarily lead to qualitative (employment) relationships but may, instead, create some sort of precarious work. In light of the recent work-life balance Directive, this contribution will illustrate the differences in status with regard to paternity and parental leave.

scholarly journals Estimating the Impact of Taxes on the Economic Growth in the United States

2017 ◽  
Vol 55 (4) ◽  
pp. 481-499 ◽  
Author(s):  
Branimir Kalaš ◽  
Vera Mirović ◽  
Jelena Andrašić
Keyword(s):  
Economic Growth ◽  
Social Security ◽  
Gross Domestic Product ◽  
Income Tax ◽  
Personal Income ◽  
Domestic Product ◽  
Tax Revenue ◽  
Personal Income Tax ◽  
Gross Domestic Product Growth ◽  
Social Security Contributions

AbstractIn 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.

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