We study the effect of inflowing remittances - a major source of capital for many countries - on tax-revenues and tax-policy. Instrumenting remittances with changes in the oil-price interacted with a country's distance to oil-producing countries, we find that remittances have a large positive...

Revenue and Gross State Domestic Product data for 1993-94 to 2008-09 are used to study the revenue performance of the state Value-Added Tax (VAT) in India's 29 states. Both the direct revenue impact and the indirect impact through the VAT base were assessed. No indirect impact of the VAT on its...

Over the past decade, governments in the Caribbean region have introduced the value-added tax (VAT) to modernize their tax system, rapidly mobilize revenue and reduce budget deficits. This paper analyzes VAT performance in the region and concludes that while it has boosted revenues, the VAT has...