The Reliability of the Laffer Curve and the Treatment of Tax Fraud
Keywords:Laffer Curve, Tax Evasion
In the present study I try to analyze the Laffer curve function, under the prism of OECD and National level. It has been observed that the reduction of the tax rates for a certain period can actually increase the tax revenues collected by companies, but continuing the latter will ultimately lead to their reduction. Moreover, even in times of rising tax rates, in some cases, there is spectacular growth in tax revenue. These observations led us to conclude that on the one hand the theory of Arthur Laffer does not work properly, secondly, that there are many other factors of increased tax revenue from companies that are independent of the level of tax rates.
Yu Hsing. Â«Estimating the Laffer curve and policy implicationsÂ». â€œThe Journal of Socio-Economics, Volume 25, Issue 3, 1996, Pages 395 â€“ 401â€. The study relied on data from the U.S. between the years 1959 - 1991, determines that the performance of tax revenues on corporate profits is maximized when the tax rate on corporate profits range between 32.67% and 35.21%.
The Laffer curve. Wikipedia.org
Varoufakis G. & Patokos T. (University of Athens, Department of Economics,) Study on "Taxing businesses through crisis" for the Center for Study and Research of ACCI. Greece Athens, March 2011.
W.J.M. Heijman, J.A.C. van Ophem: Â«Willingness to pay tax: The Laffer curve revisited for 12 OECD countriesÂ». The Journal of Socio â€“ Economics, Volume 34, Issue 5, October 2005, Pages 714 - 723
Greek Statistic Service 2011
Nikos Tatsos is a professor at â€œPantioâ€ University of Greece, Athens. The article was published in the "Daily news" newspaper 07.28.2013.
Louis Levy, David Masclet, Claude Montmarquette: â€œA behavioral Laffer curve: Emergence of a social norm of fairness in a real effort experimentÂ» Journal of Economic Psychology, Volume 30, Issue 2, April 2009, Pages 147 â€“ 161.
Melas D. â€œThe causes of tax evasion and ways of mitigation" study funded by the Research Committee of the University of Macedonia Salonika Greece
D. & K. Melas 'International Tax Planning - Development & Current Developments "page 22. Publications' Â«ImiaÂ» Thessaloniki Greece September 2013
D. & K. Melas Â«The elasticity of taxes and tax evasion. Â» "Article in the magazine "FOROTECHNIKI APPROACH" in issue No. 204, April 2011
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