Progressive Tax Rates, Income Inequality, and Tax Collections: Implications from COVID-19 Restrictions

2021 ◽  
Author(s):  
Nathan C. Goldman ◽  
Gil Sadka
Keyword(s):  
Income Inequality ◽  
Tax Rates ◽  
Progressive Tax

scholarly journals INCOME INEQUALITY, MOBILITY, AND THE WELFARE STATE: A POLITICAL ECONOMY MODEL

2012 ◽  
Vol 17 (6) ◽  
pp. 1198-1226 ◽  
Author(s):  
Luca Bossi ◽  
Gulcin Gumus
Keyword(s):  
Income Inequality ◽  
Welfare State ◽  
Social Insurance ◽  
Overlapping Generations ◽  
Tax Rates ◽  
Overlapping Generations Model ◽  
Public Programs ◽  
Transfer Payments ◽  
Set Up ◽  
The Welfare State

In this paper, we set up a three-period stochastic overlapping-generations model to analyze the implications of income inequality and mobility for demand for redistribution and social insurance. We model the size of two different public programs under the welfare state. We investigate bidimensional voting on the tax rates that determine the allocation of government revenues among transfer payments and old-age pensions. We show that the coalitions formed, the resulting political equilibria, and the demand for redistribution crucially depend on the level of income inequality and mobility.

scholarly journals Marginal Tax Rates and Income Inequality in a Life-Cycle Model

1999 ◽  
Vol 89 (5) ◽  
pp. 1197-1215 ◽  
Author(s):  
David Altig ◽  
Charles T Carlstrom
Keyword(s):  
Life Cycle ◽  
Income Inequality ◽  
Computable General Equilibrium ◽  
Tax Rates ◽  
Cycle Model ◽  
Marginal Tax Rate ◽  
Tax Rate ◽  
Marginal Tax Rates ◽  
Quantitative Impact ◽  
Distribution Of Income

In this paper we study the quantitative impact of marginal tax rates on the distribution of income. Our methodology builds on computable general-equilibrium framework. We find that distortions from marginal tax rate changes of the sort implied by the Tax Reform Act of 1986 have sizable effects on income inequality in a reasonably quantified life-cycle setting: In our model rate changes alone capture half the increase in the pretax Gini that actually occurred between 1984 and 1989. (JEL C68, D31, H30, H20)

scholarly journals ПОДХОДЫ К ВЫБОРУ ПОЛИТИКИ НАЛОГООБЛОЖЕНИЯ В КОНТЕКСТЕ РЫНОЧНЫХ СТИМУЛОВ: ПРИМЕР АРМЕНИИ

2020 ◽  
Vol 2 (30) ◽  
pp. 4-13
Author(s):  
Ани Аветисян ◽  
Keyword(s):  
Income Inequality ◽  
Income Tax ◽  
National Income ◽  
Social Benefits ◽  
Tax Rates ◽  
State Budget ◽  
Tax System ◽  
Market Incentives ◽  
Before And After ◽  
The Impact

Features of progressive, proportional and regressive types of taxation in the framework of the national income redistribution system are considered. The paper analyzes the literature devoted to the study of the impact of tax types on market incentives. The influence of the system of deductions and social benefits on the level of income inequality of the population and revenues to the state budget is considered. The article presents the income tax system in Armenia, statistics on the level of employment by industry, wages and taxes paid before and after the reform of the transition to the proportional tax scale, which came into force on January 1, 2020. Examples of a number of countries that use differentiation of tax rates depending on marital status are given. The analysis concluded that the weakness of economic regulatory institutions is a more significant factor than the level of tax rates

scholarly journals KEWENANGAN PEMERINTAH PROVINSI BALI DALAM PEMUNGUTAN PAJAK PROGRESIF

2016 ◽  
Vol 5 (3) ◽  
pp. 510
Author(s):  
Ida Bagus Prayoga
Keyword(s):  
Regional Development ◽  
Motor Vehicle ◽  
Motor Vehicles ◽  
Tax Rates ◽  
Tax Rate ◽  
Considerable Contribution ◽  
Progressive Tax ◽  
The Government

Motor vehicle tax is one source of revenue that give considerable contribution to the financing of government and regional development in bali Province. The imposition of a progressive tax rate on motor vehicles in Bali is the authorization from the Bali Provincial Regulation No. 1 of 2011. Own  motor vehicle tax is one type of provincial tax provided for in Law No 28 of 2009. The purpose of this paper  was to find out more about the  Motor Vehicle Tax in Bali. The issue in this study is how the rates charged in the collection of  Motor Vehicle Tax is charged at progressive field and how the reality of the new policy of the Government of Bali Province, whether the policy is the imposition of progressive tax rates are in accordance with the principles of taxation. Pajak kendaraan bermotor merupakan salah satu sumber pendapatan yang memberikan kontribusi yang cukup besar untuk pembiayaan pemerintah dan pembangunan daerah di  Provinsi Bali. Pengenaan tarif pajak progresif kendaraan bermotor di Bali adalah wewenang yang diperoleh dari Peraturan Provinsi Bali No. 1 tahun 2011. Pajak kendaraan bermotor sendiri merupakan salah satu jenis Pajak Provinsi yang diatur dalam UU No 28 tahun 2009. Tujuan dari penulisan ini adalah untuk mengetahui lebih lanjut tentang Pajak Kendaraan Bermotor di Bali. Masalah dalam penelitian ini adalah bagaimana tarif yang dikenakan dalam pemungutan Pajak Kendaraan Bermotor  yang dikenakan tarif progresif dan bagaimana realitas kebijakan baru dari Pemerintah Provinsi Bali, apakah kebijakan tersebut adalah pengenaan tarif pajak progresif yang sesuai dengan prinsip-prinsip perpajakan.

scholarly journals Does Income Inequality Create Excessive Threats to the Sustainable Development of Russia? Evidence from Intercountry Comparisons via Analysis of Inequality Heatmaps

Economies ◽  
2021 ◽  
Vol 9 (4) ◽  
pp. 166
Author(s):  
Mikhail Lvovitch Dorofeev
Keyword(s):  
Sustainable Development ◽  
Income Inequality ◽  
Income Distribution ◽  
Government Regulation ◽  
National Income ◽  
Historical Analysis ◽  
Wealth Inequality ◽  
Tax Rates ◽  
The Sustainable Development ◽  
The World

The paper explored the problem of income inequality in Russia in the context of the sustainable development of Russia. The research starts from the historical analysis of income inequality dynamics in Russia. Then, we discussed the problem of the inconsistency of data, comparing different sources (official data from the Rosstat database and alternative data from the World inequality database). The purpose of this research was to assess Russian specifics of income inequality and answer the question of if the income inequality in Russia is excessively high and needs extra government regulation in order to reach the trajectory of advanced sustainable development. To this end, we made intercountry comparisons and used the method of building income inequality heatmaps basing on a dataset from the World Inequality Database. Our sample includes the per-adult equivalent of household market income distribution in 27 developed and developing countries and world regions. The result of the research was that there are many countries in the world wherein the differentiation of income exceeds Russia’s. Russian income inequality is lower than the world average, but the structure of the Russian household income distribution stands out by an extreme concentration of national income in the hands of the top 1%. We supported our results via the independent data from the Credit Suisse wealth inequality report, connecting a record level of wealth inequality in Russia with its problem of top 1% income inequality. It is recommended to gradually increase marginal tax rates on the income and wealth of the top 1% and continue developing an effective progressive tax system in Russia.

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