Series: IMF Working Papers
Author(s): Ben Lockwood , and Michael Keen
Publisher: INTERNATIONAL MONETARY FUND
Publication Date: 01 July 2007
Keywords: vat, tax ratio, taxation, tax system, Value-added Tax, Tax Reform,
Has the VAT proved, as its proponents claim, an especially effective form of taxation? To address this, this paper first shows that a tax innovation-such as the introduction of a VAT- reduces the marginal cost of p...