par Castanheira De Moura, Micael
Référence Reflets et perspectives de la vie économique, 53, 1, page (87-111)
Publication Publié, 2014
Article révisé par les pairs
Résumé : Taxation is a fundamental policy instrument in the hands of governments. Yet, it is often used inefficiently. Improving taxation requires reforms, but reforms are often blocked. This article reviews the literature to identify three crucial aspects of Personal Income Taxation (PIT). First, what key features should PIT satisfy to minimize economic distortions? Second, how do political economy forces actually shape PIT, and how does that differ from the efficient scheme? Third, how can a policymaker actually gain strong political support to address existing distortions?