Arbeitspapier
How do small firms respond to tax schedule discontinuities? Evidence from South African tax registers
In this paper we study the effects of various tax schedule discontinuities on the behavior of small firms using high-quality and population-wide tax register data from South Africa. We use the bunching method to analyse how these discontinuities affect the firm-size distribution. We first examine how the value-added tax threshold affects the sales distribution of firms. We also study the effects of two separate corporate income tax rate kinks. We find sizable bunching at each of these thresholds. The elasticity estimates for the corporate tax kink points are large, ranging from 0.7 to 1.6, whereas the elasticity of the value added is below 0.1. We find some suggestive evidence that part of the response is driven by tax evasion.
- ISBN
-
978-92-9256-079-9
- Sprache
-
Englisch
- Erschienen in
-
Series: WIDER Working Paper ; No. 2016/36
- Klassifikation
-
Wirtschaft
Taxation and Subsidies: Efficiency; Optimal Taxation
Business Taxes and Subsidies including sales and value-added (VAT)
Fiscal Policies and Behavior of Economic Agents: Firm
Microeconomic Analyses of Economic Development
- Thema
-
developing countries
value-added tax
corporate tax
VAT threshold
corporate tax kink
bunching
small firms
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Boonzaaier, Wian
Harju, Jarkko
Matikka, Tuomas
Pirttilä, Jukka
- Ereignis
-
Veröffentlichung
- (wer)
-
The United Nations University World Institute for Development Economics Research (UNU-WIDER)
- (wo)
-
Helsinki
- (wann)
-
2016
- DOI
-
doi:10.35188/UNU-WIDER/2016/079-9
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:42 MEZ
Datenpartner
Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Boonzaaier, Wian
- Harju, Jarkko
- Matikka, Tuomas
- Pirttilä, Jukka
- The United Nations University World Institute for Development Economics Research (UNU-WIDER)
Entstanden
- 2016
Ähnliche Objekte (12)
How do Small Firms Respond to Tax Schedule Discontinuities? Evidence from South African Tax Registers
How do small firms respond to tax schedule discontinuities? Evidence from South African tax registers
How Do Firms Respond to Place-Based Tax Incentives?
Do multinational firms respond to personal dividend income tax rates?
Do multinational firms respond to personal dividend income tax rates?
Tax planning and tax uncertainty for multinational firms
Tax evasion by firms
Firms as tax collectors
Labor earnings respond differently to income-tax and to payroll-tax reforms
Labor Earnings Respond Differently to Income-Tax and to Payroll-Tax Reforms
Corporate tax competition between firms
Does labor supply respond to a flat tax? Evidence from the Russian tax reform
How do Small Firms Respond to Tax Schedule Discontinuities? Evidence from South African Tax Registers
How do small firms respond to tax schedule discontinuities? Evidence from South African tax registers
How Do Firms Respond to Place-Based Tax Incentives?
Do multinational firms respond to personal dividend income tax rates?
Do multinational firms respond to personal dividend income tax rates?
Tax planning and tax uncertainty for multinational firms
Tax evasion by firms
Firms as tax collectors
Labor earnings respond differently to income-tax and to payroll-tax reforms
Labor Earnings Respond Differently to Income-Tax and to Payroll-Tax Reforms
Corporate tax competition between firms
Does labor supply respond to a flat tax? Evidence from the Russian tax reform
How do Small Firms Respond to Tax Schedule Discontinuities? Evidence from South African Tax Registers
How do small firms respond to tax schedule discontinuities? Evidence from South African tax registers
How Do Firms Respond to Place-Based Tax Incentives?
Do multinational firms respond to personal dividend income tax rates?
Do multinational firms respond to personal dividend income tax rates?
Tax planning and tax uncertainty for multinational firms
Tax evasion by firms
Firms as tax collectors
Labor earnings respond differently to income-tax and to payroll-tax reforms
Labor Earnings Respond Differently to Income-Tax and to Payroll-Tax Reforms
Corporate tax competition between firms