Dharmapala, Dhammika; Slemrod, Joel; Wilson, John Douglas - In: Journal of Public Economics 95 (2011) 9, pp. 1036-1047
We analyze the optimal taxation of firms when the government faces fixed (per-firm) administrative costs of tax … costs should be exempted from taxation. We also investigate the case where firms with outputs below a cutoff level can be … exempted from taxation. It may be optimal to set the cutoff high enough to exempt a sizable number of firms, even though some …
