Distribution of Income and Income Tax Burden in Bulgaria PDF Download

Author: Željko Bogeti?
Publisher: World Bank Publications
ISBN:
Category : Income
Languages : en
Pages : 32

View

Book Description

Author: A. M. Fareed Hassan
Publisher:
ISBN:
Category :
Languages : en
Pages :

View

Book Description
February 1995 The empirical analysis of Bulgaria's income distribution and income tax burden indicates that the country has low income inequality although this is changing rapidly. The income tax is progressive and contributes significantly to reducing income inequality, and the urban sector pays proportionately more in taxes than the rural sector. Using the 1992 Bulgarian household budget survey, Bogetic and Hassan analyze the distribution of income and of the income tax burden by income and expenditure class and by rural-urban sector. They find: * Low income inequality (although that is changing rapidly). * A progressive income tax system. The poor (the lowest two-income decile) pay only 1.4 percent of their per capita income in income tax; the rich (the top decile) pay nearly 6 percent. In-kind income and expenditures are excluded from taxation. * The urban sector paying proportionately more in taxes than the rural sector. For example, urban households pay 5.3 percent of their per capita income in income tax, whereas the rural sector pays 2.4 percent. * Income tax contributes significantly to reducing income inequality at both the national and sectoral (rural-urban) level, as the poor pay a smaller share of taxes than their share of national income. These results hold whether income or expenditure is used as an indicator of economic well-being. Bogetic and Hassan caution that as in-kind income becomes monetized and the economy becomes more market-oriented, the system will become less progressive and urban-rural differences will diminish. They contend that the bias toward higher urban taxes is justified to some extent by the fact that urban households benefit more from government services than rural households do. This paper -- a product of the Country Operations Division, Europe and Central Asia, Country Department I -- is part of a larger effort in the region to analyze the consequences of government public finance policies. This paper is a part of a volume under preparation, Financing Government in the Transition: Bulgaria, edited by Zeljko Bogetic and Arye Hillman. The preparation of the volume is supported by the Bank's Research Support Budget under dissemination grant Taxation and Revenue Adequacy in Transition: Observations and Implications from Bulgaria (RPO 679-60). Fareed Hassan may be contacted at [email protected].

Author: Zeljko Bogetic
Publisher:
ISBN:
Category :
Languages : en
Pages : 32

View

Book Description
The empirical analysis of Bulgaria's income distribution and income tax burden indicates that the country has low income inequality although this is changing rapidly. The income tax is progressive and contributes significantly to reducing income inequality, and the urban sector pays proportionately more in taxes than the rural sector.Using the 1992 Bulgarian household budget survey, Bogetic and Hassan analyze the distribution of income and of the income tax burden by income and expenditure class and by rural-urban sector. They find:deg; Low income inequality (although that is changing rapidly).deg; A progressive income tax system. The poor (the lowest two-income decile) pay only 1.4 percent of their per capita income in income tax; the rich (the top decile) pay nearly 6 percent. In-kind income and expenditures are excluded from taxation.deg; The urban sector paying proportionately more in taxes than the rural sector. For example, urban households pay 5.3 percent of their per capita income in income tax, whereas the rural sector pays 2.4 percent.deg; Income tax contributes significantly to reducing income inequality at both the national and sectoral (rural-urban) level, as the poor pay a smaller share of taxes than their share of national income.These results hold whether income or expenditure is used as an indicator of economic well-being.Bogetic and Hassan caution that as in-kind income becomes monetized and the economy becomes more market-oriented, the system will become less progressive and urban-rural differences will diminish.They contend that the bias toward higher urban taxes is justified to some extent by the fact that urban households benefit more from government services than rural households do.This paper - a product of the Country Operations Division, Europe and Central Asia, Country Department I - is part of a larger effort in the region to analyze the consequences of government public finance policies. This paper is a part of a volume under preparation, Financing Government in the Transition: Bulgaria, edited by Zeljko Bogetic and Arye Hillman. The preparation of the volume is supported by the Bank's Research Support Budget under dissemination grant Taxation and Revenue Adequacy in Transition: Observations and Implications from Bulgaria (RPO 679-60). Fareed Hassan may be contacted at [email protected].

Author: Jean-Jacques Hallaert
Publisher:
ISBN: 9781513550190
Category :
Languages : en
Pages : 34

View

Book Description
Absolute poverty has dropped markedly in Bulgaria but income inequality has increased substantially in the aftermath of the GFC. This increase is due to a rise in market income inequality that was compounded by a reduction in fiscal redistribution. The redistributive role of direct taxation has declined with the introduction of a flat tax and social spending is relatively low and decreasing (as a share of GDP), is concentrated on a few social risks, and experienced a decline in its redistributive efficiency. The COVID-19 crisis is likely to deepen income inequality, increasing the room for redistributive policies.

Author: Touche Ross & Co
Publisher: GMB Publishing, Limited
ISBN:
Category : Business & Economics
Languages : en
Pages : 264

View

Book Description
"Case Studies - actual profiles by businesses which have set up in, or done business with, Bulgaria, covering export, distributorships, joint ventures, and direct investment." "The book concludes with three valuable appendices. The first provides an in-depth coverage of the opportunities by sector in Bulgaria. The second covers grant aid available and the third includes a full bibliography and sources of further information." "Impressive in its scope, the book offers both a panorama and a minute cross-section of the issues, whether obstacle or opportunity, that every business must address. Written by highly qualified experts, yet in a style which is succinct, jargon-free and accessible to the non-expert, Doing Business in Bulgaria is an invaluable, all-round reference for any businessperson keen to maximise the potential of the emergent market."--BOOK JACKET.

Author: OECD
Publisher: OECD Publishing
ISBN: 9264438181
Category :
Languages : en
Pages : 651

View

Book Description
This annual publication provides details of taxes paid on wages in OECD countries. It covers personal income taxes and social security contributions paid by employees, social security contributions and payroll taxes paid by employers, and cash benefits received by workers. Taxing Wages 2021 includes a special feature entitled: “Impact of COVID-19 on the Tax Wedge in OECD Countries”.

Author:
Publisher:
ISBN:
Category : Capital gains tax
Languages : en
Pages : 52

View

Book Description

Author: OECD
Publisher: OECD Publishing
ISBN: 9264313796
Category :
Languages : en
Pages : 643

View

Book Description
This annual publication provides details of taxes paid on wages in OECD countries. It covers personal income taxes and social security contributions paid by employees, social security contributions and payroll taxes paid by employers, and cash benefits received by in-work families. It ...

Author: Mr.David Coady
Publisher: International Monetary Fund
ISBN: 1484398084
Category : Business & Economics
Languages : en
Pages : 30

View

Book Description
Fiscal policy is a key tool for achieving distributional objectives in advanced economies. This paper embeds the discussion of fiscal redistribution within the standard social welfare framework, which lends itself to a transparent and practical evaluation of the extent and determinants of fiscal redistribution. Differences in fiscal redistribution are decomposed into differences in the magnitude of transfers (fiscal effort) and in the progressivity of transfers (fiscal progressivity). Fiscal progressivity is further decomposed into differences in the distribution of transfers across income groups (targeting performance) and in the social welfare returns to targeting due to varying initial levels of income inequality (targeting returns). This decomposition provides a clear distinction between the concepts of progressivity and targeting, and clarifies the relationship between them. For illustrative purposes, the framework is applied to data for 28 EU countries to determine the factors explaining differences in their fiscal redistribution and to discuss patterns in fiscal redistribution highlighted in the literature.

Author: Claudia Gerber
Publisher: International Monetary Fund
ISBN: 1484383087
Category : Business & Economics
Languages : en
Pages : 24

View

Book Description
This paper discusses how the structure of the tax system affects its progressivity. It suggests a measure of progressive capacity of tax systems, based on the Kakwani index, but independent of pre-tax income distributions. Using this and other progressivity measures, the paper (i) documents a decline in progressivity over the last decades and (ii) examines the relationship between progressivity and economic growth. Regressions do not reveal a significant impact of progressivity on growth, suggesting that efficiency costs of progressivity may be small—at least for degrees of progressivity observed in the sample.