Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
989200 | World Development | 2011 | 13 Pages |
Abstract
SummaryThe dual income tax combines a progressive tax on labor income and a lower flat tax on income from capital. Unlike flat tax systems, a dual income tax provides developing countries greater flexibility in addressing tax competition while retaining progressivity. Countries could use the move to a dual income tax system not just as an opportunity to rationalize the taxation of income from business operations and investment but also as a vehicle for broader reform of their tax systems.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Richard M. Bird, Eric M. Zolt,