The Louisiana Supreme Court addressed the issue of whether someone could form an out-of-state LLC for no other purpose than to avoid the sales tax imposed on the purchase of vehicles. Plaintiff Roger Thomas freely admitted that he incorporated Angel Rocks, LLC under the laws of the State of...

With recent accessions to the federal-provincial Harmonized Sales Tax, provinces with value added taxes (VATs) now comprise over two-thirds of the national economy. While Canadian VATs are economically superior to the taxes they replaced, they are not as well designed as in other countries. An...

Value Added Tax (VAT) is a type of indirect tax that is imposed on goods and services. In one of the most important reforms of the country’s public finances in over the past 50 years, India has finally launched much delayed Value Added Tax (VAT) from 1st April, 2005 in 21 states. VAT has...

We test the hypothesis that local government officials in jurisdictions that have higher local sales taxes are more likely to use fiscal zoning to attract retailing. We find that total retail employment is not significantly affected by local sales tax rates, but employment in big box and anchor...

Instead of abolishing internal border controls in 1993, the European Union (EU) replaced them with VAT and statistical requirements that appear to be just as onerous. For Dutch businesses, the compliance costs of the new requirements are, on average, 5 per cent of the value of their intra-EU...

The closing of tax loopholes is one important instrument for fiscal consolidation. We concentrate on the value added tax exemption of banking services in Germany. The potential tax revenue under full value added taxation cannot be estimated from national accounting data, as it is necessary to...

Goods and services tax (GST) is a broad based and a single comprehensive tax levied at every stage of the production and distribution chain with applicable set-off in respect of the tax remitted at previous stages. It is basically a tax on final consumption integrates the union excise duties,...

Some taxes, most notably FICA, apply to a base that is neither tax inclusive nor tax exclusive. This note provides formulas for expressing tax rates on hybrid tax bases in tax-inclusive and tax-exclusive terms, and demonstrates that obligations under the Self Employment Contributions Act fail to...