And, because it is difficult to tax capital efficiently, Europe has imposed exorbitant levies on labor.

It started on tax reform a 'flat' income tax, a single regressive social tax, a ban on the turnover tax, etc.

To encourage domestic investment, and recognizing that it is difficult to tax assets held abroad, an exit tax could also be imposed on capital taken out of the country.

To encourage domestic investment, and recognizing that it is difficult to tax assets held abroad, an exit tax could also be imposed on capital taken out of the country.

That is in addition to explicit tax hikes on income, capital gains, and dividends, the implicit ones on energy via cap and trade, etc.

The idea of increasing the low (12.5 ) withholding tax on capital gains met with accusations that Prodi intends to expropriate wealth.

The key is to reflect on six kinds of capital goods business capital, infrastructure, human capital, intellectual capital, natural capital, and social capital.

Half of tax revenue is collected with a value added tax, which is essentially a tax on consumption.

Common Sense on Capital Controls

Lowering the tax burden on firms including the payroll tax would also be useful.

The government imposed a new tax on farmers.

He was arrested on charges of tax evasion.

He was arrested on charges of tax evasion.

Generally, the tax is imposed on net profits.

Disagreements with the city centered on tax issues.

Developing nations should also push for a Tobin tax a tax on global foreign currency transactions.

Russia could impose an excess capital gains tax, analogous in spirit to the tax imposed on US oil companies when their profits soared, through no effort of their own, from high oil prices in the 1970's.

Europe favors them by bumping them to the head of waiting lists and giving tax breaks to capital.

By contrast, in medieval England, typical tax rates on labor and capital income were 1 or less, and labor and product markets were free and competitive.

The occasion was Brazil s decision to impose a 2 tax on short term capital inflows to prevent a speculative bubble and further appreciation of its currency.

For example, we can choose how much to collect via a general income tax, a payroll tax, a consumption tax (such as a sales or value added tax), and so on.

CHICAGO Global capital is on the move.

On the tax side, there has clearly been progress.

Tax on foreign property owners to burst London's bubble

The government has imposed a new tax on wine.

But the cause of Russia s so called capital flight is a poor bank system and its dysfunctional tax system.

At 15 , America s tax rates on dividends and capital gains are at historic lows, while the profit share of national income is at an all time high.

A capital gains tax hike in China has couples racing to file for divorce to avoid paying a steep rate on the sale of their second home.

The IMF Needs Fresh Thinking on Capital Controls

Tax credits or accelerated depreciation lower firms cost of investing and therefore raise the after tax return on investment.

Although individual taxes on corporate income reduce the after tax return to savings, they have less distorting effects on investment location than corporate taxes do, and they are more likely to fall on owners of capital than on workers.

These governments already spend tax money on direct foreign aid.

A tax on oil, however, does not entail excess burdens.

With evidence of sudden capital outflows in response to certain tax policy changes, governments are reluctant to raise income tax rates which have fallen sharply since the late 1970 s or to tax dividend and interest income, for fear of capital flight. But, as direct tax concessions have little or no effect in diverting international investment, let alone in attracting such flows, they constitute an unnecessary loss of revenue.

For example, capital mobility increases opportunities for tax evasion, given that tax authorities capacity to monitor their citizens overseas incomes is limited, and some governments and financial institutions systematically conceal relevant information.

Tax reform.

Tax reform

Some jurisdictions impose the higher of an income tax or a tax on an alternative base or measure of income.

Creating a fairer and more efficient tax system, by eliminating the special treatment of capital gains and dividends, is also needed.

With a lower capital stock, output would trend downward, reducing government revenues and substantially offsetting the direct gain from the tax.

Poor regions have a low base of economic activity to tax, which prevents them from investing in human and physical capital.

Poor regions have a low base of economic activity to tax, which prevents them from investing in human and physical capital.

With a lower capital stock, output would trend downward, reducing government revenues and substantially offsetting the direct gain from the tax.

All for One Tax and One Tax for All?

The G 20 s Helpful Silence on Capital Controls