The federal government is reducing its GST rate from 7% to 5%. We examine a broader reform in which this reduction in federal tax rates and revenues is accompanied by a similar reduction in federal transfers to the provinces. At the same time, the provinces may if they wish increase their own...

This paper highlights the difference between statutory and effective tax rates in the value added tax in China, and explores the role of administrative discretion in generating this difference. In China, unlike in Europe where the VAT originated, there can be significant differences between...

Ontario's new Harmonized Sales Tax applies to a broader base of consumer purchases than before, but it also removes some of the “hidden” taxes on business inputs. This paper offers a first look at how the change has affected consumer prices and the welfare of Ontario families. While consumer...

This report presents and discusses the findings of the “Study to quantifyand analyse the VAT Gap in the EU-27 Member States” (Contract TAXUD/2012/DE/316, FWC No. TAXUD/2010/CC/104), conducted by CASE and CPB.The structure of this report is as follows. In Chapter 1, we discuss the structure...

This paper highlights the difference between statutory and effective tax rates in the value added tax in China, and explores the role of administrative discretion in generating this difference. In China, unlike in Europe where the VAT originated, there can be significant differences between...

This report presents and discusses the findings of the "Study to quantify and analyse the VAT Gap in the EU-27 Member States", conducted by CASE and CPB. The main aim of the study was to help better understand the recent trends in the field of VAT fraud and analyse determinants of VAT Gaps using...

With recent accessions to the federal-provincial Harmonized Sales Tax, provinces with value added taxes (VATs) now comprise over two-thirds of the national economy. While Canadian VATs are economically superior to the taxes they replaced, they are not as well designed as in other countries. An...

This paper presents numerical simulation results that suggest that China can both reduce its trade imbalance and receive welfare benefits by switching the value added tax (VAT) regime from the current destination principle to an origin principle. With the tax on exports exceeding that no longer...