moving from joint taxation to individual taxation and adapting child benefits so as to keep fertility constant entails a … income tax, while the child benefit may move in either direction. Similarly, a move from joint taxation to some scheme of … family tax splitting increases labor supply and welfare. …

This paper analyses the implications of a currently publicly debated issue, namely the introduction of a bonus tax. We … shed light on the effects of the bonus tax on compensation components and study its incidence. We use the Principal Agent … based compensation component always rises in the country introducing the tax such that the optimal contracts are tilted …

Using a calibrated overlapping generations model we quantify the welfare gains of an age dependent income tax. Agents … switching from an age-independent to an age-dependent nonlinear tax amounts in our benchmark model to around three percent of … opposed to a linear tax are even larger. Surprisingly, it is of secondary importance to optimally choose the tax on interest …

The German Income Tax Reform 2000, which announced a reduction in income tax rates to be implemented in a series of … Income Tax Reform should be brought forward. The present paper assesses the welfare and macroeconomic consequences of the … German Income Tax Reform in the scope of a simplified DGE model of the Auerbach-Kotlikoff type and deals explicitly with the …

significant potential for cutting tax expenditures. Furthermore, eliminating distortions in the tax base would encourage economic …

reducing government expenditure, in particular, cuts in social benefits and public wages. Second, robust real GDP growth also …