Through tax evasion, through the labour-leisure choice or in other ways, taxpayers reduce the tax base in response to an increase in the tax rate. The process is commonly-believed to generate a humped Laffer curve with a revenue-maximizing tax rate well short of 100%. That need not be so. In the...

This article analyses the principal updates in tax cooperation and international tax exchange of information, which constitute enforcement mechanisms to EU tax cooperation. The article also analyses the new EU Directive 2011/16/UE of tax cooperation, which is meant to open a new era in EU tax...

As is broadly recognized, the straightforward application of the Diamond-Mirrlees (1971) production efficiency theorem implies that when lump-sum taxation is not available, then it is optimal for the government in a small open economy to rely on taxes on the net demand of households rather than...

This paper presents a model to determine the tax effort and tax capacity of 96 countries and the main variables from which they depend. The results and the model allow us to clearly determine which countries are near their tax capacity and which are some way from it, and therefore, could...

This paper presents a model to determine the tax effort and tax capacity of 113 countries and the main variables on which they depend. The results and the model allow a clear determination of which countries are near their tax capacity and which are some way from it, and therefore, could...

An earlier paper titled "Non-linear effects of tax changes on output: The role of the initial level of taxation," estimated tax multipliers using (i) a novel dataset on value-added taxes for 51 countries (21 industrial and 30 developing) for the period 1970-2014, and (ii) the so-called narrative...