Evaluation of the Impacts of Selected Tax Reforms Influencing the Income of Individuals in the Czech Republic
Ability to predict the impacts of proposed tax changes is crucial for effective and transparent tax policy. The ex-ante impact evaluation of proposed changes is in the Czech Republic part of the Regulatory Impact Assessment process and assumed effects are published within the reasoning reports to th...
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Mendel University Press
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Online Access: | https://acta.mendelu.cz/64/4/1401/ |
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doaj-4fd2403be805454c80fa42b8e63f58562020-11-24T20:45:11ZengMendel University PressActa Universitatis Agriculturae et Silviculturae Mendelianae Brunensis1211-85162464-83102016-01-016441401140710.11118/actaun201664041401Evaluation of the Impacts of Selected Tax Reforms Influencing the Income of Individuals in the Czech RepublicJana Tepperová0Jan Pavel1University of Economics in Prague, Faculty of Finance and Accounting, Department of Public Finance, W. Churchill Sq. 4, Prague 3, Czech RepublicUniversity of Economics in Prague, Faculty of Finance and Accounting, Department of Public Finance, W. Churchill Sq. 4, Prague 3, Czech RepublicAbility to predict the impacts of proposed tax changes is crucial for effective and transparent tax policy. The ex-ante impact evaluation of proposed changes is in the Czech Republic part of the Regulatory Impact Assessment process and assumed effects are published within the reasoning reports to the amendment laws. We use the top-down approach to calculate ex-post the impacts of the most significant changes in personal income tax and contribution on obligatory insurance on public revenues and compare the results with forecasted effects from reasoning reports. We use data for the period of 1994 to 2014 and create three models to quantify the impact on personal income tax revenue, social security contribution and health insurance contribution. The results show the tendency to underestimate real effects about a third to a half when calculating the projected impact on public revenues. For more accurate estimations we recommend higher transparency in presented methodology within the Regulatory Impact Assessment process and evaluation by independent institution for changes with significant impact.https://acta.mendelu.cz/64/4/1401/personal income taxtax reformstax revenuessocial security contributionhealth insurance contribution |
collection |
DOAJ |
language |
English |
format |
Article |
sources |
DOAJ |
author |
Jana Tepperová Jan Pavel |
spellingShingle |
Jana Tepperová Jan Pavel Evaluation of the Impacts of Selected Tax Reforms Influencing the Income of Individuals in the Czech Republic Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis personal income tax tax reforms tax revenues social security contribution health insurance contribution |
author_facet |
Jana Tepperová Jan Pavel |
author_sort |
Jana Tepperová |
title |
Evaluation of the Impacts of Selected Tax Reforms Influencing the Income of Individuals in the Czech Republic |
title_short |
Evaluation of the Impacts of Selected Tax Reforms Influencing the Income of Individuals in the Czech Republic |
title_full |
Evaluation of the Impacts of Selected Tax Reforms Influencing the Income of Individuals in the Czech Republic |
title_fullStr |
Evaluation of the Impacts of Selected Tax Reforms Influencing the Income of Individuals in the Czech Republic |
title_full_unstemmed |
Evaluation of the Impacts of Selected Tax Reforms Influencing the Income of Individuals in the Czech Republic |
title_sort |
evaluation of the impacts of selected tax reforms influencing the income of individuals in the czech republic |
publisher |
Mendel University Press |
series |
Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis |
issn |
1211-8516 2464-8310 |
publishDate |
2016-01-01 |
description |
Ability to predict the impacts of proposed tax changes is crucial for effective and transparent tax policy. The ex-ante impact evaluation of proposed changes is in the Czech Republic part of the Regulatory Impact Assessment process and assumed effects are published within the reasoning reports to the amendment laws. We use the top-down approach to calculate ex-post the impacts of the most significant changes in personal income tax and contribution on obligatory insurance on public revenues and compare the results with forecasted effects from reasoning reports. We use data for the period of 1994 to 2014 and create three models to quantify the impact on personal income tax revenue, social security contribution and health insurance contribution. The results show the tendency to underestimate real effects about a third to a half when calculating the projected impact on public revenues. For more accurate estimations we recommend higher transparency in presented methodology within the Regulatory Impact Assessment process and evaluation by independent institution for changes with significant impact. |
topic |
personal income tax tax reforms tax revenues social security contribution health insurance contribution |
url |
https://acta.mendelu.cz/64/4/1401/ |
work_keys_str_mv |
AT janatepperova evaluationoftheimpactsofselectedtaxreformsinfluencingtheincomeofindividualsintheczechrepublic AT janpavel evaluationoftheimpactsofselectedtaxreformsinfluencingtheincomeofindividualsintheczechrepublic |
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