income with respect to the net-of-tax rate, i.e., one minus the marginal tax rate. We offer new evidence on this matter by … making use of a large panel of Swedish tax payers over the period 1991-2002. Changes in statutory tax rates as well as … discretionary changes in tax bracket thresholds provide exogenous variations in tax rates that can be used to identify income …

their income, finding, for instance, an effective tax rate of only 38.1% for the 0.001% fractile of German income taxpayers … in 2001. This result contrasts sharply with the legislated top marginal income tax rate of 48.5%. We subject the results … measurement of effective tax rates, we provide values for what we term the comprehensive nominal tax rate" (CNTR) and show that …

We analyze the taxation of top personal incomes in Germany on the basis of an integrated data file of individual tax … includes all taxpayers in the top percentile of the gross income distribution. We show that despite substantial tax base … erosion and significant reductions of top statutory marginal tax rates, German income taxation has remained effectively …

The dual income tax combines a progressive tax schedule for labour income with a low flat tax rate on capital income … and corporate income. This paper restates the case for the dual income tax and discusses alternative methods of taxing … business income under such a tax system, paying special attention to the taxation of income from closely held corporations. It …

various ways, it is much harder for firms to manipulate the firm-specific labor tax base so that they may be relatively … location of 35,206 firms to analyze the impact of labor income tax rates, the progressivity of the income tax schedule, and … progressivity of the tax system and higher (employee- and employer-borne) social security contributions negatively influence a …

The stylized facts suggest a negative relationship between tax progressivity and the skill premium from the early 1960s … until the early 1990s, and a positive one thereafter. They also generally imply rising tax progressivity, except for the … 1980s. In this paper, we ask whether optimal tax policy is consistent with these observations, taking into account the …

participation are endogenous. Average tax rates are increasing at the optimum. This shifts wages below their laissez faire value and … distorts labor demand upwards. The marginal tax rate is positive at the top of the skill distribution even when the latter is …

We derive a general optimal income tax formula when individuals respond along both the intensive and extensive margins … the Spence-Mirrlees condition being imposed. Employing a new tax perturbation approach that integrates the nonlinearity of … the tax function into the behavioral elasticities, we derive a fairly mild condition for optimal marginal tax rates to be …