This paper explores the implications of tax rate uncertainty, identifying circumstances in which revenue-neutral tax … heterogeneous taxpayers, tax rate variability is shown to perform an efficiency-enhancing screening function, imposing heavier … expected tax burdens on less responsive taxpayers. And while efficient tax uncertainty enables governments to reduce average …

on transfers and public goods are each integrated into a common optimal tax framework with the income tax and commodity … taxes at the core. Additional topics addressed include a range of dynamic issues, the unit of taxation, tax administration … and enforcement, and tax equity …

This paper investigates whether taxpayers bunch at the kink points of the US income tax schedule (i.e. where marginal … rates jump) using tax returns data. Clear evidence of bunching is found only at the first kink point (where marginal rates … compensated elasticity of income with respect to tax rates. These models are used to perform simulations of bunching and calibrate …

entire schedule of benefits of taxes second order stochastically dominates the entire schedule of tax distortions. Second, we … skill, thus mitigating distortions along the dominant skill dimension. Tax wedges are particularly high for low skilled …

are poor, leading to a redistributive motive for taxation. Optimal tax rates can be written as a closed-form function of … the size of the tax bases and their elasticities with respect to tax rates. We find that it is optimal to tax capital …

Robust support for corporate income taxation is a puzzle for standard tax theory because the tax's incidence is … uncertain and unreliable. We propose a resolution: if the corporate tax is seen as a benefit-based tax, its normative appeal …'s activities. We show that a simple mechanism makes this correspondence exact--and the net incidence of the tax zero--when the tax …

This paper provides general and empirically implementable sufficient statistics formulas for optimal nonlinear tax … systems in the presence of preference heterogeneity. We study unrestricted tax systems on income and savings (or other … commodities) that implement the optimal direct-revelation mechanism, as well as simpler tax systems that impose common …