European experience of a progressive tax system of population’s incomes
Abstract
During the pandemic COVID-19 there is a big increase in searching for new sources of taxation for the government. Due to the increase of population inquires on social equity the measures extending the progression in personal income taxation and symbolizing the fall of flat personal income tax rate were introduced. In order to effectively transplant the progressive taxation into Russian fiscal system there is a necessity in detailed examination of practical experience that advanced economies possess. Therefore, the task of this research is to estimate the role of income taxation in tax revenues and examine new tendencies in practical application of the progressive taxation scale to the advanced economies of European Community. The article presents the results of analysis of tax contribution to GDP across European Union countries during the period 1995–2019, as well as the role of income taxation in budget revenues. The system of the tax rates in the most developed European Union countries which have a high level of the top tax rate is studied as well as prospective of establishing a system of progressive tax rates in EU countries, which operate a flat income tax at present. The author deduces that there is no potential in EU contact for rising the rates in contract with EU countries operating the system of flat tax rates. The most acceptable characteristics of the progressive taxation scale based on the European experience are outlined.
About the Authors
L. P. Koroleva
National Research Mordovia State University n. a. N.P. Ogarev
Russian Federation
Russian Federation
PhD in Economics, Associate Professor.
Yu. A. Zavyalova
National Research Mordovia state University n. a. N.P. Ogarev
Russian Federation
Russian Federation
Student.
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Review
For citations:
Koroleva L.P., Zavyalova Yu.A. European experience of a progressive tax system of population’s incomes. Kazan economic vestnik. 2021;(1):22-29. (In Russ.)
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