In practice, there is no perfect measure of
the distributional impact of a tax change.
Our preferred measure of
the distributional impact of the tax cut is the percentage change in after - tax income.
For example,
the distributional impacts of a tax are relatively well known compared to the distributional impacts of regulation.
Not exact matches
In that post, I calculated the
distributional impacts of the â $ œFamily
Tax Cutâ $ proposed by the Conservatives that would allow couples with children under 18 yrs old to split up to $ 50,000
of their income.
The first question regarding the political viability
of any
tax proposal is «What is the
distributional impact?»
My sense is that most people don't have a very clear sense
of the revenue or
distributional impact of this or that
tax proposal unless someone is putting a number on it for them.
Some fraction
of conservative activists probably favor this outcome, but mass support for flat
taxes is likely a result
of people initially misunderstanding the
distributional impact.
By drawing on historical and international experiences
of taxing wealth and providing new analysis
of the potential fiscal and
distributional impacts of reform, the IPPR research aims to provide a more balanced picture
of the scope for reforming wealth
taxes in the UK.
It makes extensive use
of the new IPPR wealth
tax model, the first
of its kind to provide detailed data on the
distributional impact of wealth
taxes.
But the Governor's disinformation campaign ignores both the
distributional impact of other state and local
taxes and the wealthiest one percent's share
of the income
of all families.