Issues in Designing a System of Income Tax

Dr. M M Sury

doi:https://doi.org/10.17492/vision.v1i2.2421

Submit Manuscript Login / Register Subscribe

Home Page

Editorial Board Members

Mission, Aims & Scope

Current Issue

Issues in Designing a System of Income Tax

M M Sury

https://doi.org/10.17492/vision.v1i2.2421

Article has been added to the cart.View Cart (0)

Published Online: December 21, 2014

Author Details ( * ) denotes Corresponding author

1. * M M Sury, Formerly Economic Advisor, Delhi State Finance Commission, Delhi, India (mmsury43@gmail.com)

Among the various indices of ability-to-pay taxes, income is regarded, by far, as the most appropriate. This is borne out by the popularity of income taxes the world over. Income tax is levied on the annual income of various taxable entities, mainly individuals and companies. For operating an income tax system successfully, fiscal authorities, particularly in developing countries, are required to resolve various issues to make it compatible with the socio-economic objectives of government policy. This paper examines general policy issues relevant for designing and reshaping a suitable income tax system.

Keywords

Income tax, Ability-to-pay, Fiscal policy

Pechman, Joseph A. (1986). The Rich, the Poor, and the Taxes They Pay, Brighton Wheatsheaf Books Ltd.
Tanzi, Vito (1969). The Individual Income Tax and Economic Growth, Baltimore: The John Hopkins Press.
The Institute of Fiscal Studies (1978), The Structure and Reform of Direct Taxation. Report of a Committee Chaired by Professor J.E. Meade, London: George Allen and Unwin.
Vickrey, William (1947), Agenda for Progressive Taxation, Ronald Press.