The introduction of a broad-based indirect tax at the State level is impractical for constitutional reasons. Attention has instead turned to the possibility of alternative new taxes at the State level, such as a State income tax

This article reviews recent surveys of the tax compliance costs associated with Value Added Taxes (like the Australian GST). It uses such surveys to identify what aspects of VAT seem to be associated with higher compliance costs. This provides a form of ‘litmus test' which might be used,...

Over the last two decades, many governments have sought to take stock of the burden generally imposed by their regulations, especially in relation to taxes imposed on businesses, and to identify and adopt measures to reduce the costs of complying with such regulations. In many countries, the VAT...

Existing literature has established the regressive nature of tax compliance costs, and in particular, the compliance costs associated with indirect taxes such as value added taxes (VAT) (known in Australia as Goods and Services Tax (GST)). Costs of compliance impact on the willingness of...

This article presents the findings of a pilot research project designed to evaluate the merits of a prototype diagnostic tool for gauging the nature and likely overall incidence of value added tax (VAT) compliance costs at the country level, and to assess its use in comparative cross-country...

This report sets out the findings of an extended study designed to test a diagnostic tool that has been developed for use in comparative cross-country assessments of the VAT compliance burden and its main drivers. It is based on data gathered from surveys conducted in the 47 member countries of...

The taxation of financial services is one of the most vexing aspects of a VAT. Conceptually, VAT should apply to any fee for service but where financial services are concerned there is a difficulty in identifying the taxable amount, ie the value added by financial institutions. As a result, most...