An efficiency approach to reforming a realization-based tax

Resource Information

The work An efficiency approach to reforming a realization-based tax represents a distinct intellectual or artistic creation found in International Bureau of Fiscal Documentation. This resource is a combination of several types including: Work, Language Material, Continuing Resources.

Label

An efficiency approach to reforming a realization-based tax

Creator

• Schenk, D.H

Subject

• disposal
• tax reform

Language

• eng
• eng

Summary

In a previous article (A positive account of the realization rule, TLR (2004), no. 3 ; p. 355-396) the author developed a positive account of the realization rule and concluded that such a rule is an inevitable feature of the US hybrid income tax because an accrual tax is both infeasible and politically unacceptable. Nevertheless, because of efficiency and equity concerns, a pure realization rule is indefensible in a system intended to impose a tax burden on capital. Since neither an accrual tax or a pure realization rule is viable, the task for policymakers is to determine where along the continuum between the two to draw the line. This article develops a model of how policymakers should make that determination. It proposes that in reforming the US hybrid, realization-based tax, policymakers use a methodology borrowed from the economics literature

Citation source

In: Tax law review. - New York. - Vol. 57 (2004),

Geographic coverage

North America

Language note

English