We estimate the elasticity of corporate taxable income with respect to the effective corporate tax rate on the basis of a pseudo-panel constructed from corporate tax return micro data for the period 1998-2001, a period which saw the introduction of a major corporate tax reform in Germany. Endogeneity of the effective tax rate is controlled for by an instrumental variable approach. Our instrumen...

This paper considers an optimal income tax cum higher education policy. It shows that in the presence of an optimal income tax system higher education should be taxed rather than subsidized. Furthermore, income taxes should become less progressive when an optimal higher education policy is introduced. JEL Classification: H21, I22. Berthold U. Wigger Department of Economics University of Mannhei...

Based on a representative data set of more than 36,000 original tax report extracts, we develop a microsimulation model that calculates the fiscal impact of changes in the area of tax deductible work-related expenses, in particular expenses for travelling from private home to the place of work, in Germany. The new model allows a more accurate estimation of the fiscal impact of changes in the Ge...

This paper explores the correlation between respondents concerns regarding climate change, their eagerness to adopt an AFV and responsiveness incentives. Seen as solution for a cleaner mobility greenhouse gas reduction in urban areas globally, alternative fuel vehicles (AFV) still own modest market share Europe. Among many reasons, purchase price seems be one of most challenging overcome. Incen...

While acknowledging the importance of fairness and the need to avoid creating disincentives in the design of tax reform, the Henry Review recommends a simplified Personal Income Tax and child payments withdrawn on a single family income test. This paper shows that the proposed reforms would consolidate the existing family tax system, which clearly fails in terms of both fairness and disincentiv...

All 50 US states allow medical exemptions from school entry immunization requirements. The extent to which medical exemptions are granted and the relationship with ease of obtaining these exemptions has not previously been examined in detail. We evaluated counts and rates of state-level medical exemptions to kindergarten entry requirements over 7 school years (2004-2005 through 2010-2011). Duri...