Research background: In the Visegrad Four (V4) countries (Poland, Czech Republic, Hungary, and Slovakia), inward foreign direct investment (FDI) shows high shares in exports gross domestic product (GDP). Furthermore, reinvested earnings play a significant role national balances of payments (BoP). Therefore, it is crucial to investigate reinvestment rates effective corporate income tax (ETRs) tr...

IN 1985, individuals filing U.S. tax returns reported $166.4 billion of long-term capital gains in excess of short-term capital losses.' The following year Congress enacted a significant increase in capital gains taxes effective in 1987, and capital gains realizations for 1986 nearly doubled, to $324.8 billion.2 That investors' expectations of tax changes would alter their realization practices...

We define and statistically estimate a nonlinear relationship between individual effective income tax rates and economic income for United States tax return data for tax years 1979-89. The relationship, which we call the effective tax function, has three parameters and was theoretically derived from the theory of equal sacrifice by Young (1988, 1990) and more generally by Berliant and Gouveia (...

This paper analyses the impact of effective average and marginal tax rates on the size of the capital stock owned by foreign affiliates of US multinational companies. We use data on 20 OECD countries, 1983-1998. A simple two-stage model of location choice, and investment conditional on location, identifies the role of each form of effective tax rate. The results indicate a large and significant...

This paper proposes measures that quantify the effective level and the effective progressivity of tax schedules in a fiscally decentralized country taking income sorting into account. Using data on the universe of Swiss taxpayers, we find that rich households effectively face significantly lower average and marginal tax rates and lower progressivity than in the benchmark case that does not cons...