Optimal indirect taxation with a restricted number of tax rates

• 成果类型: Article
• 署名作者: Belan, Pascal; Gauthier, Stephane
• 署名单位: Institut Polytechnique de Paris; ENSAE Paris; Nantes Universite; Universite de Caen Normandie
• 刊物名称: JOURNAL OF PUBLIC ECONOMICS
• ISSN/ISSBN: 0047-2727
• DOI: 10.1016/j.jpubeco.2005.10.004
• 发表日期: 2006
• 页码: 1201-1213
• 关键词: indirect taxation; commodity grouping; exemptions

摘要

This paper analyzes the optimal structure of indirect taxation when the number of available tax rates is smaller than the number of taxable commodities. Such a constraint requires to choose the levels of tax rates and the groups of commodities that will be taxed at equal rates (or exempted). In a partial equilibrium framework, with a single agent and a low amount of tax collection, it is shown that the process of allocation of commodities to groups depends on both price elasticities and consumption spendings. Still, the optimal tax structure displays a weak form of the inverse elasticity rule; consumption spendings influence the size of the fiscal base, and may lead to many tax exemptions. (c) 2005 Elsevier B.V. All rights reserved.