scholarly journals Towards a true tax reform: Proposal to reactivate the economy. Towards real tax reform: Proposal to revive the economy

2020 ◽  
pp. 1-9
Author(s):  
José Luis Bárcenas-Puente ◽  
Miguel Ángel Andrade-Oseguera
Keyword(s):  
Economic Growth ◽  
Civil Society ◽  
Economic Crisis ◽  
Tax Reform ◽  
Job Creation ◽  
Good News ◽  
Tax Rates ◽  
Reform Proposal ◽  
The Republic

Every one that proposes and publishes a tax reform renews the hope of good news or at least that the situation does not worsen, this year 2020 did not happen, which is not new. The current government promised not to raise taxes, which is also new. While it is true that the Federation Revenue Law for FY 2020 does not provide for the increase in tax rates, it does show the eventual creation of new contributions, a situation that has gone unnoticed by the majority of the population, moreover, of the fervent followers of the person now holding the Presidency of the Republic. Thus, this reform tightens the audit but does not encourage job creation or the preservation of existing ones; 2019 ended without economic growth and that does not seem to matter to this regime, indolent of an economic crisis in the wake of today's pandemic. That is why the proposals for improvement must come from individuals, from the civil society which, though belittled by authority, must take the baton, now distracted and empty; the gravity of the situation deserves it, it claims.

scholarly journals Household Behavior and the Tax Reform Act of 1986

1987 ◽  
Vol 1 (1) ◽  
pp. 101-119 ◽  
Author(s):  
Jerry A Hausman ◽  
James M Poterba
Keyword(s):  
Economic Growth ◽  
Tax Reform ◽  
Household Behavior ◽  
Tax Rates ◽  
Tax System ◽  
Reform Proposal

President Reagan's May 1985 letter to Congress, accompanying his tax reform proposal, argued that the existing tax system hindered economic growth because “most Americans labor under excessively high tax rates that discourage work and cut drastically into savings.” This paper analyzes how the Tax Reform Act of 1986 affects these aspects of household behavior.

scholarly journals Transformation of the taxation system and its influence on enterprise development in the Republic of

2011 ◽  
Vol 2 ◽  
Author(s):  
Furkat Bazarov
Keyword(s):  
Economic Growth ◽  
Small Businesses ◽  
Tax Burden ◽  
Tax Rates ◽  
Enterprise Development ◽  
Tax System ◽  
The Republic ◽  
Tax Changes ◽  
Taxation System ◽  
Small Business Taxation

The research studies impacts of new tax changes to the small businesses, unemployment and to economic growth in Uzbekistan. The study shows that the tax policy directed on perfection of tax mechanisms, reduction of tax rates aimed to raise economic efficiency of manufacturing and increasing individual income. As a result from year to year the tax burden is reduced and the taxation order becomes simpler. Empirical analysis shows that only for last seven years the general tax burden in economy was reduced with 40 to 27 percent. The author found problems existing in small business taxation and generalizes recommendations for simplification of tax system and tax administration. 

scholarly journals Measuring the impact of marginal tax rate reform on the revenue base of South Africa using a microsimulation tax model

2015 ◽  
Vol 18 (3) ◽  
pp. 380-394 ◽  
Author(s):  
Yolande Jordaan ◽  
Nicholaas J Schoeman
Keyword(s):  
Economic Growth ◽  
Tax Reform ◽  
Fiscal Year ◽  
Optimum Level ◽  
Tax Rates ◽  
Strong Response ◽  
Taxable Income ◽  
Marginal Tax Rates ◽  
Tax Efficiency ◽  
The Impact

This paper is primarily concerned with the revenue and tax efficiency effects of adjustments to marginal tax rates on individual income as an instrument of possible tax reform. The hypothesis is that changes to marginal rates affect not only the revenue base, but also tax efficiency and the optimum level of taxes that supports economic growth. Using an optimal revenue-maximising rate (based on Laffer analysis), the elasticity of taxable income is derived with respect to marginal tax rates for each taxable-income category. These elasticities are then used to quantify the impact of changes in marginal rates on the revenue base and tax efficiency using a microsimulation (MS) tax model. In this first paper on the research results, much attention is paid to the structure of the model and the way in which the database has been compiled. The model allows for the dissemination of individual taxpayers by income groups, gender, educational level, age group, etc. Simulations include a scenario with higher marginal rates which is also more progressive (as in the 1998/1999 fiscal year), in which case tax revenue increases but the increase is overshadowed by a more than proportional decrease in tax efficiency as measured by its deadweight loss. On the other hand, a lowering of marginal rates (to bring South Africa’s marginal rates more in line with those of its peers) improves tax efficiency but also results in a substantial revenue loss. The estimated optimal individual tax to gross domestic product (GDP) ratio in order to maximise economic growth (6.7 per cent) shows a strong response to changes in marginal rates, and the results from this research indicate that a lowering of marginal rates would also move the actual ratio closer to its optimum level. Thus, the trade-off between revenue collected and tax efficiency should be carefully monitored when personal income tax reform is being considered.

scholarly journals Wages Inequality in the Republic of Macedonia in a Post Crisis Period

ECONOMICS ◽  
2015 ◽  
Vol 3 (2) ◽  
pp. 19-26
Author(s):  
Predrag Trpeski
Keyword(s):  
Economic Growth ◽  
Economic Crisis ◽  
Gini Index ◽  
Eu Member States ◽  
Republic Of Macedonia ◽  
Eu Membership ◽  
World Economic ◽  
The Republic ◽  
The Lorenz Curve ◽  
World Economic Crisis

Abstract The aim of this paper is to show the distribution of net wages in the Republic of Macedonia and whether the great world economic crisis of 2008 has had an impact on the inequality in the distribution of wages. In this paper it is analyzed the level of inequality in the distribution of wages in Macedonia in 2008 as a year when the economic crisis started in the last quarter, in 2012 as the year in which GDP still has had a negative rate of economic growth and in 2014, when the economy maintained positive economic growth. In the three selected years the analysis is based on examination of the inequality in the distribution of the paid net wages. In the paper, the analysis of inequality in the distribution of net wages is based on determining the distribution of frequencies, constructing the Lorenz curve and the Gini index calculation. The results show that there is a quite expressed inequality in the distribution of net wages in Macedonia, whereas the estimated Gini index is 27.98 in 2008, 26.76 in 2012 and 25.88 in 2014. Thus, it should be kept in mind that the inequality in the distribution of total income is higher and in the analyzed period the Gini index is greater than 40. This points the fact that Macedonia has the highest inequality in the distribution of income compared to all EU member states and candidate countries for EU membership.

scholarly journals Growth-Enhancing Corporate Tax Reform in Belgium

2018 ◽  
Vol 2018 (1) ◽  
pp. 1-17 ◽  
Author(s):  
Ruud De Mooij ◽  
Shafik Hebous ◽  
Milena Hrdinkova
Keyword(s):  
Public Finance ◽  
Economic Growth ◽  
Income Tax ◽  
Tax Reform ◽  
Corporate Income Tax ◽  
Tax Rates ◽  
Corporate Tax ◽  
Tax System ◽  
Corporate Tax Reform ◽  
The Government

Abstract Until 2018, Belgium had a unique corporate income tax system due to its notional interest deduction, also known in public finance literature as the allowance for corporate equity. At the same time, it had one of the highest corporate tax rates in Europe at 34 percent. The latter came under severe pressure to reform and, as of 2018, the government has started to reduce the rate, gradually to reach 25 percent in 2020. The reduction is accompanied by other measures, including a limitation of the notional interest deduction. This paper argues that the lower CIT rate is likely to be conducive to economic growth. Yet, the effects on growth would have been more favorable if the notional interest deduction would have been strengthened, rather than diminished.

scholarly journals Evaluation of vehicle taxation in the Republic of Latvia by the method of variant optimization using relative single indexes

2020 ◽  
Author(s):  
Alexey Leontyev ◽  
◽  
Galina Reshina ◽  
Keyword(s):  
European Commission ◽  
Low Income ◽  
Social Stratification ◽  
Tax Reform ◽  
Current Situation ◽  
Tax Burden ◽  
Tax Rates ◽  
Taxation Policy ◽  
Fairness And Efficiency ◽  
The Republic

The European Commission has evaluated the consequences of the Latvian tax reform in 2018 and declared that the set target of decreasing tax burden for people with low income was not reached, yet the tax reform continuing implementation caused even greater social stratification. The goal of the study was to develop method for determining the rational tax on vehicles based on criteria of fairness and efficiency using an analytical approach. To develop such a method for vehicle taxation, relative single indexes approach as a part of method of variant optimization was used based on relative fuel equivalent coefficient. To analyse the current situation in Latvia and show possible ways of improving it, scenario analysis (three controlling cases) and mathematical modelling by using the developed method were carried out. Analysis of the first controlling case showed that the current situation in Latvia's vehicle taxation policy is not efficient enough from the point of the combination of fairness and efficiency. To improve the situation and achieve zone of optimum (the third controlling case) it is possible to shift tax burden partially from local taxpayers to taxpayers with foreign-registered vehicles. To comply with the recommendation of the European Commission, it is also recommended to set fairness as a primary criterion and make the system more favourable to the taxpayer (when operating in the zone of optimum). It can be achieved by using annual mileage as a base to determine the tax. If recommendations would be implemented partially, it is possible to reach the state (the second controlling case), where vehicle taxation is becoming optimal, yet any change in tax rates or procedures separately will lead to ineffective or unfair solutions. Overall the developed method allows to analyse and forecast most of the changes in vehicle taxation.

PRIORITIES OF THE COUNTRY'S ECONOMY IN THE CONTEXT OF THE CORONAVIRUS PANDEMIC AND THE IMPORTANCE OF SIMPLIFIED PROCEDURES FOR SELF-EMPLOYED PEOPLE

2020 ◽  
Vol 11 (3) ◽  
pp. 12-18
Author(s):  
Sadoqat Khalikchayeva ◽  
Keyword(s):  
Economic Growth ◽  
Economic Crisis ◽  
Job Creation ◽  
Income Generation ◽  
Current Economic Crisis ◽  
The World ◽  
Simplified Procedures

The article discusses the current economic crisis in the world as a result of the tragic consequences of the current coronavirus pandemic, the priorities of our country in the development of entrepreneurship and job creation, employment and income generation at a time of declining economic growth. Simplified procedures for self-employed persons and their importance are discussed

scholarly journals SMALL ENTERPRISES: KEY SOURCE OF EMPLOYMENT AND ECONOMIC GROWTH

2016 ◽  
Vol 1 (11) ◽  
pp. 63
Author(s):  
Tihomir Spremo ◽  
Jelena Mićić
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Economic Crisis ◽  
Small Businesses ◽  
Small Firms ◽  
Business Environment ◽  
Small Enterprises ◽  
The Subject ◽  
The Republic

Small enterprises, within the market economy, are initiators of economic development and an important part of every national economy. Due to the nature of private property, entrepreneurial spirit, flexibility and adaptability, as well as their potential to react to the challenges and turbulences in the environment, small businesses give a special contribution to economic growth and higher employment. Entrepreneurship and small business represent a significant and fundamental source for creation of new jobs and expansion of new business practices by providing a significant contribution to economic growth. This applies both to small businesses in the Republic of Srpska and the ones that are located anywhere in the world. The role of small enterprises is especially important in transition countries. During the global economic crisis, small businesses have, both in developed economies, and in the Republic of Srpska and BiH as a whole, proved to be resilient, although this period was characterized by a very poor business environment. The importance of entrepre-neurship and small firms in developing national economies are often the subject of professional and empirical discussion. However, recent developments have further confirmed the views that small businesses, in dealing with all the negativities of poor business environment in times of crisis, more quickly adapt to changes compared to larger enterprises and companies. This quality of small enterprises gives enough reason to pay special attention to the theoretical and practical aspects of this phenomenon, in order to make appropriate business decisions and implementation of development policy as a more efficient model for faster economic development of the national economy. The subject of this paper is to define the importance of small businesses in the economic growth of developed and developing countries. Through researching analyses, this paper examines the role and importance of small enterprises in economies of the European Union (EU) member states and the Republic of Srpska and BiH, especially regarding its influence on the employment growth and added value in a period of economic crisis and post-crisis years. This paper aims to explore and emphasize the interdependence between growth of small firms and new added values, reviewing economic development and employment in both developed and economies in transition. This paper attempts to present the importance of effects of analyzed economic indicators as a result of small enterprises in two separate periods (the period of global crisis and post-crisis period) and provide guidance and recommendations to policy makers on economic role of small firms in macroeconomic stability of the economy.

Challenges to immigrant associations and NGOs in contemporary Greece

2013 ◽  
Vol 10 (3) ◽  
pp. 342-358 ◽  
Author(s):  
Apostolos G. Papadopoulos ◽  
Christos Chalkias ◽  
Loukia-Maria Fratsea
Keyword(s):  
Civil Society ◽  
Economic Crisis ◽  
Hot Spot ◽  
Geographical Range ◽  
Legal Form ◽  
Social Actors ◽  
Governmental Organizations ◽  
Non Governmental Organizations ◽  
Migrant Integration ◽  
Concentration Patterns

The paper explores the challenges faced today, in a context of severe economic crisis, by immigrant associations (ΙΜΑs) and Non-Governmental Organizations (NGOs) in Greece. The data analysed here was collected between October 2009 and February 2010 and incorporates references to all recorded migration-related social actors operating in Greece. The paper takes into account such indicators as legal form, objectives, financial capacity and geographical range of activity, concluding with a typology of civil society actors dealing with migration issues. This study aims at informing the migration policymaking and migrant integration processes. By a spatial hot-spot clustering of IMAs and NGOs, we also illustrate the concentration patterns of civil society actors in Greece.

INFLUENCE OF INVESTMENTS ON THE ECONOMIC GROWTH OF THE COUNTRY

2020 ◽  
Vol 7 (3) ◽  
pp. 28-33
Author(s):  
Ravshan Mamatov ◽  
Keyword(s):  
Economic Growth ◽  
Annual Growth ◽  
Production Factors ◽  
Fixed Assets ◽  
Production Growth ◽  
Total Investment ◽  
The Republic ◽  
Investment In Fixed Assets

The economic growth of the Republic of Uzbekistan will depend on production factors that contribute to the annual growth of the country's GDP. At the same time, extensive production growth will lead to the implementation of unpromising investments. A growing share of innovation-oriented investments in the total investment in fixed assets in the country will lead to intensive economic growth in the country

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