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Equity and efficiency of a reform of Belgian indirect taxes

Published online by Cambridge University Press:  17 August 2016

André Decoster  and
Erik Schokkaert
André Decoster
Affiliation:
Katholieke Universiteit te Leuven
Erik Schokkaert
Affiliation:
Katholieke Universiteit te Leuven
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Summary

In this paper we apply the theory of tax reform to derive empirical results about the structure of indirect taxes in Belgium. We focus on the equity-efficiency trade-off and try to formulate conclusions which are relevant for policy makers. To integrate the merit good component in the indirect taxes on tobacco and transportation, we compute the implicit valuation attached to them by policy makers. This component is considerable and affects the whole structure of tax rates.

Résumé

Résumé

Dans cet article nous appliquons la théorie de la réforme fiscale pour obtenir des résultats empiriques à propos de la structure des taxes indirectes en Belgique. Nous centrons notre attention sur l’arbitrage entre équité et efficacité et tentons de formuler des conclusions pertinentes pour la décision politique. Pour estimer l’importance de la composante “biens tutélaires” dans les taxes indirectes sur le tabac et le transport nous calculons la valeur implicite qui lui est attribuée par les décideurs. Cette composante s’avère être considérable; elle affecte toute la structure des taux de taxation.

Keywords

024321323024321323
Type
Research Article
Information
Recherches Économiques de Louvain/ Louvain Economic Review , Volume 55 , Issue 2 , 1989 , pp. 155 - 176
Copyright
Copyright © Université catholique de Louvain, Institut de recherches économiques et sociales 1989 

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Footnotes

*

During the period of this research, A. Decoster was Fellow of the National Foundation for Scientific Research (N.F.W.O)

References

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