Measuring the Effective Tax Burden of Lifetime Personal Income

Artikel

This paper designs and tests a comprehensive model, solved by statistical simulation, which describes and quantifies the effect of the tax system and lifelong income characteristics on the effective tax burden of a population or its segment. In the present application the model is structured and calibrated to analyse the category of employed persons in the Czech Republic. The Czech tax and levy system is shown to be mildly progressive, with a steep digression for very high incomes. It is also shown how the initial income endowment, lifelong income volatility and the minimum wage level impact the structure of effective tax rates, as well as expected unemployment.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Journal: European Financial and Accounting Journal ; ISSN: 1805-4846 ; Volume: 10 ; Year: 2015 ; Issue: 3 ; Pages: 5-14 ; Prague: University of Economics, Faculty of Finance and Accounting

Classification and Topics

• Classification: Management ; Model Construction and Estimation ; Taxation and Subsidies: Efficiency; Optimal Taxation ; Personal Income and Other Nonbusiness Taxes and Subsidies; includes inheritance and gift taxes ; Wage Level and Structure; Wage Differentials
• Subject: Lifetime tax burden ; Personal income ; Statistical simulation

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Vlachý, Jan
• Event: Veröffentlichung
• (who): University of Economics, Faculty of Finance and Accounting
• (where): Prague
• (when): 2015

Further information

• DOI: doi:10.18267/j.efaj.142
• Handle: http://hdl.handle.net/10419/141432
• Last update: 10.03.2025, 11:42 AM CET