Download or read book Corporate Tax Reform From Income to Cash Flow Taxes written by Benjamin Carton and published by International Monetary Fund. This book was released on 2019-01-16 with total page 34 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper uses a multi-region, forward-looking, DSGE model to estimate the macroeconomic impact of a tax reform that replaces a corporate income tax (CIT) with a destination-based cash-flow tax (DBCFT). Two key channels are at play. The first channel is the shift from an income tax to a cash-flow tax. This channel induces the corporate sector to invest more, boosting long-run potential output, GDP and consumption, but crowding out consumption in the short run as households save to build up the capital stock. The second channel is the shift from a taxable base that comprises domestic and foreign revenues, to one where only domestic revenues enter. This leads to an appreciation of the currency to offset the competitiveness boost afforded by the tax and maintain domestic investment-saving equilibrium. The paper demonstrates that spillover effects from the tax reform are positive in the long run as other countries’ exports benefit from additional investment in the country undertaking the reform and other countries’ domestic demand benefits from improved terms of trade. The paper also shows that there are substantial benefits when all countries undertake the reform. Finally, the paper demonstrates that in the presence of financial frictions, corporate debt declines under the tax reform as firms are no longer able to deduct interest expenses from their profits. In this case, the tax shifting results in an increase in the corporate risk premia, a near-term decline in output, and a smaller long-run increase in GDP.
Download or read book Cash Flow Or Income written by Jack M. Mintz and published by World Bank Publications. This book was released on 1989 with total page 50 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Treatment of Companies Under Cash Flow Taxes written by Emil McKee Sunley and published by World Bank Publications. This book was released on 1989 with total page 47 pages. Available in PDF, EPUB and Kindle. Book excerpt: Cash flow taxes eliminate many of the problems of the corporate income tax, but they have significant administrative, transitional, and international problems, especially for developing countries.
Download or read book OECD Tax Policy Studies Fundamental Reform of Corporate Income Tax written by OECD and published by OECD Publishing. This book was released on 2007-11-13 with total page 174 pages. Available in PDF, EPUB and Kindle. Book excerpt: Presents the recent trends in the taxation of corporate income in OECD countries, discusses the main drivers of corporate income tax reform and evaluates the gains of fundamental corporate tax reform.
Download or read book Assessing Tax Reform written by Henry Aaron and published by Brookings Institution Press. This book was released on 2010-12-01 with total page 160 pages. Available in PDF, EPUB and Kindle. Book excerpt: Reform of the United States tax system has become a central political issue. Assessing Tax Reform is a concise, nontechnical book to help general readers and students understand the tax reform issues Congress is now debating. Henry Aaron and Harvey Galper lay out the major alternative proposals and analyze principles of taxation that can be used for judging them. They explore the issues surrounding a move to a comprehensive income tax, a cash-flow tax, and the value-added tax or other consumption-based taxes. They show the conflicts and opportunities resulting from large current government deficits and the move for tax reform. In addition to clarifying the problems that must be solved if large-scale, long-term reform is to be achieved, the authors describe alternative strategies for increasing revenues quickly. They also present their own program for a fair, efficient, and less complex tax structure. They conclude with an examination of the political pitfalls that continue to make any major improvements in the tax system hard to enact.
Download or read book Options for Tax Reform written by Richard B. Goode and published by . This book was released on 1984 with total page 168 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Notes on Cash Flow Taxation written by and published by World Bank Publications. This book was released on with total page 25 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Blueprints for Basic Tax Reform written by United States. Department of the Treasury and published by . This book was released on 1977 with total page 248 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book General Tax Reform Tax treatment of capital recovery investment credit accelerated depreciation and amortization written by United States. Congress. House. Committee on Ways and Means and published by . This book was released on 1973 with total page 176 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Cash Flow Corporate Income Tax written by Mervyn A. King and published by . This book was released on 1986 with total page 48 pages. Available in PDF, EPUB and Kindle. Book excerpt: Terms of potential and administrative and practical problems of.
Download or read book Simple Fair and Pro growth written by United States. President's Advisory Panel on Federal Tax Reform and published by . This book was released on 2006 with total page 304 pages. Available in PDF, EPUB and Kindle. Book excerpt: The official account of the advisory panel formed by Presi-dent George W. Bush to identify major problems in the U.S.Federal Tax Code and to recommend options to make the codesimpler, fairer and more conducive to economic growth. Thepanel's report was submitted to U.S. Secretary of the Trea-sury John W. Snow on Nov. 1, 2005. Chaired by Connie MackIII, the panel recommended 2 reform options: the SimplifiedIncome Tax Plan & the Growth & Investment Tax Plan.
Download or read book Simulating Business Cash Flow Taxation written by Seth G. Benzell and published by . This book was released on 2017 with total page 59 pages. Available in PDF, EPUB and Kindle. Book excerpt: The U.S., according to some measures, has one of the highest marginal effective corporate tax rates (METRs) of any developed country. Yet the tax collects less than 2 percent of GDP. This paper studies the impact of replacing the U.S. corporate tax with a Business Cash Flow Tax (BCFT). Our paper studies BCFT reform with reference to a particular, but reasonably generic, proposal, namely the House Republican “Better Way” tax plan. We use the Global Gaidar Model -- a 17-region, global, overlapping-generations model, calibrated to U.N. demographic and IMF fiscal data -- to simulate the dynamic, general equilibrium impact of this reform. In the short run, the U.S. capital stock, pre-tax wage rates, and GDP rise by roughly 25 percent, 8 percent, and 9 percent, respectively. Over time, the capital stock and wage rates remain significantly above their baseline values. There is a smaller long-run increase in GDP as workers spend some of their higher wages on additional leisure. The tax reform produces enough additional revenues to permit a reduction in personal income tax rates while maintaining the economy's initial debt-to-GDP ratio. The beneficiaries of the House plan are today's and tomorrow's workers. We also simulate a matching METR cut by the rest of the world, which raises the world interest rate. The short-run increases in the capital stock, pre-tax wage rates, and GDP are smaller. However, along the transition path, all U.S. agents experience slightly higher welfare than under the House plan. This reflects the combination of a higher post-corporate tax world interest rate and Americans' disproportionately large holdings of global assets.
Download or read book Corporate Taxation in a Dynamic World written by Paolo M. Panteghini and published by Springer Science & Business Media. This book was released on 2007-05-10 with total page 235 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book analyzes the economic principles of modern corporate taxation. It is novel in two respects. First of all, it analyzes not only the effects of taxation on firms' marginal choices, but also focuses on the impact of taxation on discrete choices, such as plant location, R and D investment, and new marketing programs. The second novelty is represented by the application of option pricing techniques to corporate taxation.
Download or read book Fundamental Tax Reform written by John W. Diamond and published by MIT Press. This book was released on 2008 with total page 567 pages. Available in PDF, EPUB and Kindle. Book excerpt: Papers presented at a conference held at the James A. Baker III Institute for Public Policy at Rice University, in Apr. 2006.
Download or read book Taxes and Capital Formation written by Martin Feldstein and published by University of Chicago Press. This book was released on 2007-12-01 with total page 134 pages. Available in PDF, EPUB and Kindle. Book excerpt: Economists have long recognized the importance of capital accumulation for productivity and economic growth. The National Bureau of Economic Research is currently engaged in a study of the relationship between such accumulation and taxation policies, with particular focus on saving, risk-taking, and corporate investment in the United States and abroad. The papers presented in Taxes and Capital Formation are accessible, nontechnical summaries of fourteen individual research projects within that study. Complete technical reports on this research are published in a separate volume, The Effects of Taxation on Capital Accumulation, also edited by Martin Feldstein. By addressing some of the most critical policy issues of the day with a minimum of economic jargon, Taxes and Capital Formation makes the results of Bureau research available to a wide audience of policy officials and staff as well as to members of the business community. The volume should also prove useful for courses in public policy, business, and law. In keeping with Bureau tradition, the papers do not contain policy recommendations; instead, they promote a better understanding of how the economy works and the effects of specific policies on particular aspects of the economy.
Download or read book The Effects of Taxation on Capital Accumulation written by Martin Feldstein and published by University of Chicago Press. This book was released on 2009-05-15 with total page 501 pages. Available in PDF, EPUB and Kindle. Book excerpt: Research on capital formation has long been a major focus of studies sponsored by the National Bureau of Economic Research because of the crucial role of capital accumulation in the process of economic growth. The papers in this volume examine the influence of taxes on capital formation, with specific focus on the determinants of saving and the process of investment in plant and equipment.
Download or read book Untangling the Income Tax written by David F. Bradford and published by . This book was released on 1986 with total page 404 pages. Available in PDF, EPUB and Kindle. Book excerpt:
