Guner, Nezih; López-Segovia, Javier; Ramos, Roberto - In: SERIEs : Journal of the Spanish Economic Association 11 (2020) 4, pp. 369-406
Can the Spanish government generate more tax revenue by making personal income taxes more progressive? To answer this … revenue. The revenue from labor income taxes is maximized at an effective marginal tax rate of 51.6% (38.9%) for the richest 1 … only 0.82%, while the total tax revenue declines by 1.55%. The higher progressivity is associated with lower aggregate …