The Design of Capital Income Taxation : Reflections on the Mirrlees Review

Item Type Monograph (Discussion Paper)

This commentary reflects on the recommendations of the Mirrlees Review on tax reform with a special focus on capital income taxation. Regarding the alternatives of moving to a consumption based tax system, the commentary discusses the relative merits of choosing an ACE system (allowance for corporate equity) rather than a cash-flow tax on the company level. It reviews the arguments in favour of full elimination of tax on the normal return to savings at the personal level which contrasts with alternative tax reform proposals recommending a positive but low and flat tax rate on personal capital income. It also discusses how existing computational models would have to be extended for a meaningful quantification of the gains and costs of implementing a tax reform along the lines of the Mirrlees Review.

Authors Keuschnigg, Christian
Language English
Keywords Fundamental tax reform, consumption based tax system.
Subjects economics
HSG Classification contribution to scientific community
Refereed No
Date 11 July 2011
Page Range 15
Depositing User Prof. Dr. Christian Keuschnigg
Date Deposited 11 Jul 2011 11:35
Last Modified 23 Aug 2016 11:10


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Keuschnigg, Christian: The Design of Capital Income Taxation : Reflections on the Mirrlees Review. 2011, S. 15.

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