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This paper characterises the Laffer curve of each individual taxpayer in a schedular multi-rate income tax with income shifting. Analytical expressions for the revenue-maximising tax rate and the revenue-maximising elasticity are provided for the individual taxpayer and the aggregate population, as well as new estimates of the Elasticity of Taxable Income. Applying these to the Spanish income tax demonstrates that 44.72% (58.49%) of the taxpaying population in the non-savings tax base (savings tax base) is on the "normal" side of the Laffer curve. On average, these taxpayers are 6.59 points (24.73 points) above (below) the maximum of the Laffer curve. The fraction of total tax revenue lost through behavioural responses amounts to 53.77%. However, this fraction varies by population subgroup and decreases when we account for income-shifting responses, suggesting the presence of fiscal externalities in the Spanish PIT. [ABSTRACT FROM AUTHOR]

Every economy's prosperity is determined by the quantity of tax income it receives. Over the years, studies have demonstrated that inflows from foreign investments and openness to international trade are important contributors to a country's tax income. Based on this assumption, this study seeks to examine the impact of foreign direct investment (FDI) and open trade on tax income in a number of sub-Saharan African nations. The World Bank Development Indicators data on tax revenue, FDI, exports, imports, and exchange rates from 1990 to 2022 are used in the study. We also use the pooled mean group/panel autoregressive distributed lag approach to examine the data gathered for this inquiry. The results reveal that, in the long term, FDI has a significant negative impact on tax income; nevertheless, in the short run, Ghana's tax revenue collection suffers while other nations profit from FDI. The results reveal that Nigeria's exporting is detrimental to tax revenue collection, but South Africa's export of goods and services is beneficial. However, imports and currency rates benefit Nigeria, Ghana, and South Africa in the near term. Thus, the research suggests improving tax rules and administration to prevent the movement of resources by foreign investors out of the host countries in order to avoid the imposition of huge tax burdens on their firms. Countries with low exports, such as Nigeria, are urged to enhance local manufacturing to meet international export standards in order to alleviate the continual negative balance of payments, which is primarily fixed by the adequate export of products and services. [ABSTRACT FROM AUTHOR]

The paper explores the relationship between the shadow economy, corruption, and taxes in 25 high-financial developed countries (HFDCs) and 30 low-financial developed countries (LFDCs) using the PVAR method. The results of the impulse-response function show that the corruption perception index (CPI) has a positive correlation with tax revenue and the shadow economy in HFDCs, while tax revenue and the shadow economy are negatively correlated. In contrast, in LFDCs, the shadow economy has a positive correlation with tax revenue and a negative correlation with the CPI. In addition, the study also suggests that there is no relationship between tax revenue and the CPI. From the above findings, we propose several related policies for each group of countries. [ABSTRACT FROM AUTHOR]

Copyright of International Journal of Professional Business Review (JPBReview) is the property of Open Access Publications LLC and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Effective carbon taxation is essential for achieving the green transition. However, there is typically stiff opposition to carbon taxation due to adverse equity and other impacts. Hence, it is essential to get a better understanding of which factors, including the use of tax revenue, can increase acceptability. To date, stated preference methods, rarely used to analyse this issue, have focused only on households. We conduct two national choice experiment surveys of Norwegian households and companies. The experiments include carbon taxes on transport fuel and associated emission reductions and different revenue recycling options as attributes. We find that both groups are more accepting of higher tax levels if the revenues finance climate change mitigation efforts. There is some heterogeneity among the groups with regard to using revenues to reduce different dimensions of inequality. Simulating policy scenarios, we find acceptance for the highest carbon tax among both groups when the revenues are used both to finance climate change mitigation efforts and to reduce rural-urban inequalities. This policy option points to an acceptable carbon tax close to an estimated level necessary for reaching the most ambitious climate target set by the Norwegian government. In Norway, further research should explore whether an effective carbon tax level could be achieved with modest efficiency loss, while also alleviating inequality. Key policy insights: Policymakers need a better understanding of the factors, including the use of associated tax revenues, that increase carbon tax acceptability in order to ensure that the tax is high enough to effectively reduce emissions. Simultaneously considering levels of carbon tax acceptance among households and companies could increase the chance of implementing higher, more effective carbon tax levels by identifying mutual interests and points of divergence. Our results show that companies and households concur to a certain extent on the most socially acceptable policy option; earmarking carbon tax revenues to finance climate change mitigation efforts and to reduce rural-urban inequalities. [ABSTRACT FROM AUTHOR]

Despite the advent of trade liberalisation, trade taxes still remain a key source of tax revenues in sub‐Saharan Africa. Further trade reforms in the form of the African Continental Free Trade Area could, however, hinder output growth in the region if these reforms lead to a decline in total tax revenues. Motivated by this conundrum, this paper investigates the impact of trade liberalisation on tax revenues across a panel of sub‐Saharan African countries. The results indicate that trade liberalisation is associated with an increase in total tax revenues. Also, the reduction of import and export duties significantly increases and decreases domestic and trade tax revenues, respectively. In addition, greater urbanisation is associated with an increase in total tax revenues, while inflation decreases tax revenues. [ABSTRACT FROM AUTHOR]

In Indonesia, digital platforms in tax administration services have been implemented for more than a decade. This study aims to investigate whether digital platforms for motor vehicle tax administration services can increase local government tax revenues. Then, it is continued by testing the moderating role of motor vehicle tax revenue targets and online service information. Data were collected from the Unit Penerimaan Pendapatan Daerah (UPPD) Central Java – Indonesia. Observations focused on motor vehicle tax services carried out during the 2018–2022 period in 37 district and city UPPDs. The analysis uses GLS regression, which was developed with modeling regression analysis (MRA). The study results show that implementation of digital platforms in motor vehicle tax administration services can increase local government tax revenues. This relationship will be further strengthened if there are online information services, both circular and standby. Further investigation results revealed that relying on tax revenue targets to strengthen the relationship between digital platforms in tax administration services and local government tax revenues is not viable. AcknowledgmentThis study is supported by the Direktur Riset, Teknologi dan Pengabdian Masyarakat (DRTPM) based on decree number 108/E5/PG.02.00.PL/2024 and contract number 007/LL6/PB/AL.04/2024, 196.43/A.3-III/LRI/VI/2024.

Purpose – This article examines potential impacts of increase in non-tax government revenues and public expenses on corruption for 11 transition economies in the Central and Eastern Europe. Design/methodology/approach – The empirical analysis uses yearly panel datasets and employs second-generation panel data models which take cross-sectional dependency and slope heterogeneity into account. Findings – The empirical results reveal the fact that there is a strong linkage between public expenses and corruption and a weak linkage between non-tax revenue collection and corruption in the transition economies. We perform the same analysis by using data sets from G-7 countries but do not notice any linkages between those variables. Research limitations/implications – The research topic requires further discussion on constitutional political economy to digest the empirical findings. Thus, an extended version combined with political economic approach might be useful. Practical implications – Through economic transitions, there might be a linkage between public expenditures and corruption index. Thus, public spending might be controlled by using constitutional economics policies. Originality/value – This paper is the first empirical work in the literature, which examines if there is a linkage between corruption and public expenditures and government tax income structure by using panel data sets. Moreover, it compares the results from transition countries with those of G-7 countries and provides certain policy suggestions in the context of constitutional economics.

Resource-rich economies, especially those in Africa, are plagued with the resource curse and Dutch Disease syndromes, which undermine the quest for effectively mobilizing domestic resources toward sustainable and inclusive development. Empirical evidence on the role illicit financial flow (IFF) plays in this regard is relatively scarce. Thus, this study evaluates the volume of IFF and its effect on tax revenue in seven resource-rich African countries. Panel data, sourced for the 2009-2021 period, were analysed using the fixed effect and random effect models while the Instrumental Variable Generalised Method of Moment (IV-GMM), a dynamic estimator, was used for robustness check. Findings revealed that IFF has been on the rise and has detrimental effects on the tax revenue of the sampled countries’ national governments. This is inimical to sustainable development. Thus, the governments and policymakers in these countries must develop pragmatic policy and institutional approaches toward tackling the IFF menace.

This study examined the effect of tax audits and corporate taxpayer compliance on increasing tax revenue, focusing on corporate taxpayers at KPP Madya Makassar. A quantitative approach was employed, using secondary data collected from 12 corporate taxpayers annually from 2015 to 2018, resulting in 48 observations. Data analysis included descriptive statistical tests, classical assumption tests, and hypothesis testing through linear regression. The results indicated that while the Taxpayer Compliance Level and Tax Audit had positive coefficients, neither variable significantly affected tax revenue. Additionally, the interaction between Taxpayer Compliance and Tax Audit did not significantly moderate the impact on tax revenue. These findings suggest that although tax audits have a role in monitoring compliance, they do not substantially moderate the relationship between taxpayer compliance and tax revenue. This study provides valuable insights for tax authorities and policymakers in designing strategies to enhance compliance and optimise tax audits.

Purpose – This paper examines the short- and long-run effects of foreign direct investment (FDI) on tax revenue in Ghana. Design/methodology/approach – The paper adopts the autoregressive distributed lag approach to estimate FDI’s long-run and short-run effects on tax revenue. The study uses time-series data from 1983 to 2019 for Ghana, mainly obtained from The Bank of Ghana, the World Bank and the IMF. Findings – The results show that, in the short-run, FDI has no significant effect on direct tax revenue and total tax revenue but significantly hurts indirect tax revenue. In the long run, however, the results show that FDI has significant positive effects on indirect tax revenue and total tax revenue but no significant effect on direct tax revenue. Originality/value – Empirical studies often fail to analyse the short-run and long-run effects of FDI on tax revenue. This study contributes to the mixed literature by analysing the short-run and long-run effects of FDI on tax revenue in an emerging market context. Additionally, this study employs three tax revenue measures in analysing the nexus.

Raising domestic revenue still represents a priority for most Sub-Saharan African countries that continue to face high tax non-compliance. This research investigates whether there is a link between citizens' perceptions of governance and individual tax compliance in SSA. We employ a logistic regression model by applying five levels of specifications and using round 7 of the Afrobarometer, which contains information on Africans' views on democracy, governance, economic reform, civil society, and quality of life for 32 countries. The main results suggest that perceptions of governance and attitudes towards tax compliance are positively associated, and their impact differs by country. The study proposes a binary mediation analysis to investigate the direct and indirect effects of governance perception on individual tax compliance, with trust in institutions serving as a mediator. Our findings suggest that a negative perception of governance may influence the trust in institutions and affect willingness to pay taxes. [ABSTRACT FROM AUTHOR]

Domestic resource mobilisation (DRM) is vital for achieving sustainable healthcare financing in Nigeria, where dependence on external funding and oil revenues has long hindered health sector progress. The Nigerian healthcare system faces persistent challenges, including inadequate funding, inefficiencies and limited access to essential services, particularly in rural areas. This paper explores the challenges and prospects of DRM as a means of financing healthcare in Nigeria. A Medline search and a search of other internet search engines were carried out for published studies on healthcare financing in Nigeria, Africa and worldwide, we also examined policy documents and healthcare financing data to analyse the potential of DRM in Nigeria. A total of 38 publications were reviewed revealing that mechanisms such as general tax revenue, social insurance systems and community-based health insurance are central to DRM efforts. However, challenges such as inadequate budgetary allocations, corruption, poor database management and the emigration of health workers persist. Despite these obstacles, there are promising prospects, including increased tax revenue, development of the domestic capital market and the potential for sustainable and equitable healthcare financing through public–private partnerships. To harness these opportunities, the Nigerian government must implement effective policies, strengthen governance structures and promote transparency and accountability. DRM offers a promising path towards reducing dependency on external aid and achieving a more resilient and equitable healthcare system in Nigeria. [ABSTRACT FROM AUTHOR]

This study investigates the effect of the shadow economy on tax revenue and the moderating effect of mobile phone penetration in Sub-Saharan Africa. Using data on 26 SSA countries over 11 years and employing the system General Method of Moments (GMM) approach, the study reveals that the shadow economy has a significant negative effect on tax revenue in SSA, whereas mobile phone penetration has a significant positive effect on tax revenue. Again, mobile phone penetration plays a moderating role in the shadow economy-tax revenue nexus in SSA. Governments in the SSA region need to update their tax administration systems, construct and enhance infrastructure linked to emerging mobile technology, and implement best practices in tax regulations. Lastly, governments and telecommunications companies should implement some kind of consumer education in the informal sector to raise awareness of the advantages of using mobile phones for business transactions and the simplicity of paying taxes using a mobile device. [ABSTRACT FROM AUTHOR]

Tax plays a dominant role in national development within the state budget structure. Taxpayer compliance is the important focus of the DJP with tax monitoring activities in the self-assessment system to achieve optimal tax revenue in a dynamic national situation, including during the Covid-19 pandemic. Compliance risk management produces taxpayer compliance risk profiles. The taxpayer compliance monitoring policy aims to improve the efficiency and effectiveness of monitoring in order to achieve sustainable compliance. The goal of this research is to analyze taxpayer monitoring using the CRM model and taxpayer compliance monitoring policies as an effort to strengthen tax revenue at KPP Pratama Indramayu from 2019 to 2023. This research was conducted through a descriptive approach using the qualitative research method. The results of interviews became primary data. Apart from that, related documents and literature became secondary data. The research results show that taxpayer monitoring using the CRM model and taxpayer compliance monitoring policies have a positive impact on tax revenue at KPP Pratama Indramayu from 2019 to 2023. [ABSTRACT FROM AUTHOR]

This paper investigates the relationship between public health expenditure growth and macroeconomic determinants in 59 low-, low-middle-, and upper-middle-income countries from 2000 to 2019. The study is motivated by the need to understand how macroeconomic policies affect public health spending and the performance of health systems in these countries. To achieve this objective, the Arellano-Bover/Blundell-Bond system-GMM approach is applied on dynamic panel data by dividing the global panel into three sub-panels: full sample period, pre-global financial crisis period, and post-global financial crisis period. The results show that tax capacity and spending capacity exhibit positive impacts on public health expenditure in the full sample period and pre-global financial crisis period, respectively. Meanwhile, in the post-crisis period, public health expenditure is negatively influenced by the global financial crisis due to weak taxation capacity and high debt burden. We find that debt service burden has a positive impact on public health expenditure (% of GDP) in the full sample period and pre-global financial crisis period, respectively, while public health expenditure (% of GGE) is negatively affected by debt service burden in the post-crisis period. Furthermore, fiscal balance has a negative and significant impact on public health expenditure in all sample periods. Our analysis also shows that the rise of public health expenditures is significantly influenced by GDP per capita, population ageing, and development assistance for health. These findings have significant implications for policymakers seeking to improve health system financing and effectiveness in these countries, where governments should prioritize efforts to improve revenue and tax systems to allocate more funds towards health system financing performance. [ABSTRACT FROM AUTHOR]

Purpose: This study aims to examine the effect of foreign direct investment (FDI) inflows on tax revenue in 34 developed and developing countries from 2006 to 2020. Design/methodology/approach: Feasible generalised least squares (FGLS), a dynamic panel of a two-step system generalised method of moments (GMM) system and a pool mean group (PMG) panel autoregressive distributed lag (ARDL) approach were used to compare the developed and developing countries. Basic estimators were used as pre-estimators and diagnostic tests were used to increase robustness. Findings: The FGLS, a two-step system of GMM, PMG–ARDL estimator's results showed that there was a significant negative long and positive short-term in most countries relationship between FDI inflows and tax revenue in developed countries. This study concluded that attracting investments can improve the quality of institutions despite high tax rates, leading to low tax revenue. Meanwhile, there was a significant positive long and negative short-term relationship between FDI inflows and tax revenue in the developing countries. The developing countries sought to attract FDI that could be used to create job opportunities and transfer technology to simultaneously develop infrastructure and impose a tax policy that would achieve high tax revenue. Originality/value: The present study sheds light on the effect of FDI on tax revenue and compares developed and developing countries through the design and implementation of policies to create jobs, transfer technology and attain economic growth in order to assure foreign investors that they would gain continuous high profits from their investments. [ABSTRACT FROM AUTHOR]

The World Migration Report 2020 shows that the number of international migrants increased from 84 million in 1970–272 million in 2019, accounting for 3.5% of the world’s population. This paper investigates the aggregated effect of emigration on the tax revenue of sending countries with a focus on developing nations. Using a gravity approach, we construct a time-varying exogenous instrument out of measures of changes in transportation technology from geographic time-invariant dyadic characteristics. Then, we follow an instrumental variable approach where we use our predicted emigration rate as an instrument of the observed migration rate. The results show that the predicted emigration rate is a good instrument of the current emigration rate for developing countries, and that there is a positive aggregated effect of emigration on tax revenue of sending countries. The results vary depending on the type of tax: emigration increases goods and services tax revenue, but it decreases income, profit, and capital gains tax revenue. [ABSTRACT FROM AUTHOR]

This study investigates the asymmetric effects of fiscal policy on inflation (INF) in Kenya using data for the period from 1991 to 2021. The study differs from previous studies by applying the non-linear autoregressive distributed lag (NARDL) modeling to capture asymmetric dynamics. The study identified a long-run equilibrium and cointegrating relationship among the study variables, with the findings indicating the existence of asymmetric long-run effects of public debt (PD) and government spending (GS) on INF. A positive relationship between increases in PD and INF in the short-run is also established, while decreases in PD are found to increase INF in both the long-run and short-run. Increases in GS raise INF, while decreases in tax revenue (TR) reduce INF in the long-run. Output gap has a persistent positive relationship with INF, while interest rate negatively affects INF. As such, the study recommends that policymakers should prioritize fiscal measures, especially government expenditure by ensuring that any additional spending does not cause inflationary pressures. The government should also regulate PD by ensuring that its levels align with the objective of INF control.

The mobilization of domestic revenue has become a crucial priority for developing nations in their pursuit of various development objectives such fiscal financing, funding economic and social development projects, ensuring state legitimacy, national security, promoting state accountability, as well as facilitating effective state building. In light of this, this study aims to revisit the factors influencing tax revenue mobilization by introducing a new explanatory variable, namely the electronic government development index. The study utilizes panel data from 30 Sub-Saharan African countries spanning the period from 2003 to 2022. By employing the correlated panel corrected standard error (PCSE) model, the study underscores the significance of the electronic government development index as a determinant of tax revenue efforts, in addition to the traditional macroeconomic factors. Based on the study’s findings, it is crucial for countries to prioritize digital transformation strategies that aim to integrate digital technology across various sectors, thereby reshaping both enterprises and government systems that enhance revenue mobilization. This study contributes to the ongoing discourse on tax revenue mobilization in African countries by examining the theoretical implications of the government’s shift toward electronic platforms for service delivery.

The study investigates the determinants of tax revenue in Zimbabwe using the ARDL approach for the period 1980 to 2022. This study aims to offer a thorough summary of the different factors that influence tax revenue within the framework of economic and social factors. The variables included in the analysis are GDP growth, the share of agriculture in GDP, private consumption expenditure, inflation, foreign direct investment, real interest rates, trade openness, shadow economy and population growth. The results indicate that private consumption expenditure and share of agriculture in GDP negatively and significantly impact tax revenue in the long run. GDP growth, inflation, foreign direct investment and real interest rates exhibit a positive but insignificant impact on tax revenue. Trade openness, shadow economy and population growth are negatively and insignificantly related to tax revenue. The short-run analysis indicates that lagged tax revenue, GDP growth, private consumption expenditure, inflation, and trade openness significantly impact tax revenue, while the share of agriculture in GDP and the shadow economy significantly hinder tax revenue. Real interest rates and population growth have positive but insignificant impacts on tax revenue. The study’s findings provide valuable guidance to policymakers in formulating policies and strategies that enhance tax revenue collection and support the government’s domestic resources mobilisation agenda by uncovering the relationships between tax revenue and its determinants.

The primary goal of this research is to examine the impact of external debt, exchange rates, economic growth inflation and tax revenue on foreign direct investment (FDI) in the Next-11 (N-11) countries where tax revenue used as a control variable. FDI plays an important role in boosting economic growth in developing countries such as the N-11. This study applied secondary data from 1993 to 2020. The panel unit root test has several criteria to make a decision on the unit root of the selected factors. This study considers the PMG panel ARDL model in the case of mixed orders. The exchange rate affects FDI negatively in the short run but positively in the long run, according to the findings of this study, the coefficient of variable external debt has a positive coefficient and result explains that a one percent raise in external debt tends to raise FDI by 0.46 percent in the long run but the result is not statistically significant. Economic growth has a positive impact on FDI over the long run and inflation has negative impact in the long run. By using the Kao cointegration test, a long-run association was found, and the ECT between the variables and the rate of adjustment was 27%. However, this study has the potential to have an impact on economic areas like global trade, global economics, public finance, and foreign direct investment decision-making.

The relationship between fiscal policy and economic growth is one of the longest-lived economic discourses. In this context, countries with emerging institutions and resource-based economies are of particular interest. Therefore, the Azerbaijani economy was chosen as the object of study. The purpose of this paper is to analyze the relationship between fiscal policy and economic growth in Azerbaijan and analyze the possible existence of the BARS curve relationship in Azerbaijan. The study covers quarterly data for 2005Q1–2023Q2. The autoregressive distributed lag (ARDL) bound test is used to evaluate the relationship between fiscal variables and economic growth (both general and non-oil), as well as the BARS curve relationship. The analysis revealed a positive association between government spending and both overall and non-oil economic growth over the long term. On average, a 1% rise in government spending corresponds to a 0.6% increase in economic growth. Conversely, in the short term, a negative relationship is observed between government spending and economic growth, encompassing both the general and non-oil economy. Notably, no statistical evidence supporting the presence of the BARS curve relationship in Azerbaijan was identified. Amid the circumstances of decreasing oil production in Azerbaijan, these results put more emphasis on the importance of increasing the productivity of government spending.

Copyright of Revista de Ciencias Sociales (13159518) is the property of Revista de Ciencias Sociales de la Universidad del Zulia Venezuela and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This paper investigates how tax rates and tax enforcement jointly impact fiscal capacity in low‐income countries. We study a policy experiment in the D.R. Congo that randomly assigned 38,028 property owners to the status quo tax rate or to a rate reduction. This variation in tax liabilities reveals that the status quo rate lies above the revenue‐maximizing tax rate (RMTR). Reducing rates by about one‐third would maximize government revenue by increasing tax compliance. We then exploit two sources of variation in enforcement—randomized enforcement letters and random assignment of tax collectors—to show that the RMTR increases with enforcement. Including an enforcement message on tax letters or replacing tax collectors in the bottom quartile of enforcement capacity with average collectors would raise the RMTR by about 40%. Tax rates and enforcement are thus complementary levers. Jointly optimizing tax rates and enforcement would lead to 10% higher revenue gains than optimizing them independently. These findings provide experimental evidence that low government enforcement capacity sets a binding ceiling on the revenue‐maximizing tax rate in some developing countries, thereby demonstrating the value of increasing tax rates in tandem with enforcement to expand fiscal capacity. [ABSTRACT FROM AUTHOR]

This study examined the impact of fiscal policy on Nigeria’s economic growth from 1981 to 2022, covering a 41-year period. The research investigated the effects of government recurrent expenditure, government capital expenditure, and tax revenue on Gross Domestic Product (GDP), a proxy for economic growth. Using secondary data from reputable sources, the study employs an expost facto research design and purposive sampling technique to analyze the relationship between fiscal policy and economic growth. The findings revealed a complex relationship between government expenditures, tax policies, and economic growth outcomes in Nigeria. Contrary to expectations, government recurrent expenditure had a positive effect on economic growth, while government capital expenditure had a negative effect. Tax revenue also had a negative effect on economic growth. These findings have significant implications for policymakers, researchers, and stakeholders interested in understanding the impact of fiscal policy on economic growth in Nigeria. The study contributes to the existing body of knowledge on fiscal policy and economic growth, providing actionable insights for data-driven policy decisions to foster sustained economic growth, development, and prosperity in Nigeria. [ABSTRACT FROM AUTHOR]

Taxes are the main source of state income. The research aims to examine the influence of the contribution of the service and the industrial sector on tax revenues. The difference in research is that it uses per capita income as a moderating variable. This research uses data from countries, such as Denmark, Finland, Iceland, Norway, and Sweden, which have several similarities in terms of prosperity, education, and a strong and stable economy. The data used comes from the World Bank and spans 2002-2019. The research results show that the contribution of the service sector, industry, and per capita income positively influences tax revenues. Supported by high tax rates, increasing donations to the service, and industrial sectors means that tax revenues are growing. Interestingly, using per capita income as a moderating variable negatively affects the service and industrial sectors' tax revenues. With the moderating influence of per capita income, tax avoidance can grow in the service and industrial sectors. One of the tax avoidance measures is using a transfer pricing scheme. This was triggered by high tax rates and the Human Development Index (HDI). The higher the tax rate, the more loopholes the taxpayer will look for to avoid taxes, to lower the tax burden. A high HDI will enable a high level of tax knowledge. Apart from increasing tax compliance, a high level of tax knowledge will also allow tax avoidance. [ABSTRACT FROM AUTHOR]

Resource-rich economies, especially those in Africa, are plagued with the resource curse and Dutch Disease syndromes, which undermine the quest for effectively mobilizing domestic resources toward sustainable and inclusive development. Empirical evidence on the role illicit financial flow (IFF) plays in this regard is relatively scarce. Thus, this study evaluates the volume of IFF and its effect on tax revenue in seven resource-rich African countries. Panel data, sourced for the 2009-2021 period, were analysed using the fixed effect and random effect models while the Instrumental Variable Generalised Method of Moment (IV-GMM), a dynamic estimator, was used for robustness check. Findings revealed that IFF has been on the rise and has detrimental effects on the tax revenue of the sampled countries’ national governments. This is inimical to sustainable development. Thus, the governments and policymakers in these countries must develop pragmatic policy and institutional approaches toward tackling the IFF menace. [ABSTRACT FROM AUTHOR]

This study is a quantitative study that examines the influence of Regional Original Revenue (PAD), General Allocation Fund (DAU), and Tax Revenue Sharing on economic growth in East Nusa Tenggara province during the period 2008-2017. Secondary data from the Indonesian Bureau of Statistics (BPS) East nusa tenggara Province were used, with independent variables including PAD, DAU, and Tax revenue Sharing, and the dependent variable was economic growth. The analysis method used is multiple linear regression with the Ordinary Least Square (OLS) technique to determine the relationship between these variables. The results of this study are expected to provide an overview of how much PAD and DAU contribute to economic growth during the research period. [ABSTRACT FROM AUTHOR]

This paper investigates the effects of institutional quality on tax revenue collection in sub‐Saharan African countries. We include the six institutional quality indicators (i.e., voice and accountability, political stability, regulatory quality, rule of law, control of corruption, and government effectiveness) as explanatory factors for tax revenues and its components in a sample of 42 countries over the period 1996–2019. A system GMM approach was used for the estimations. Consistent with previous results, we find that institutional quality has positive and significant effects on tax revenue collection in sub‐Saharan Africa. Specifically, aggregate total tax revenues, direct taxes, income taxes, and goods and services taxes are positively affected by the six institutional quality indicators. Indirect taxes are positively associated with four indicators, with the exception of government effectiveness and political stability, while tax on international trade are affected by institutional quality factors, with the exception of control of corruption and voice and accountability. These findings indicate that sub‐Saharan African countries should improve institutional quality to boost tax revenue collection. [ABSTRACT FROM AUTHOR]

This research aims to explore the fiscal and public finance viability on climate physical risk externalities cost for building social-economic-environmental sustainability. It analyzes climate physical risk impact on the real business cycle to change the macroeconomic output functions, its regressive cyclic impact alters tax revenue income and public expenditure function; This research also analyzes that the climate physical risk escalates social-economic inequality and change fiscal-financial policy functions, illustrates how the climate damage cost and adaptation cost distorts fiscal-finance cyclical and structural equilibrium function. This research uses binary and multinomial logistic regression analysis, dynamic stochastic general equilibrium method (DSGE) and Bayesian estimation model. Based on the climate disaster compensation scenarios, damage cost and adaptation cost, analyzing the increased public expenditure and reduced revenue income, demonstrates how climate physical risk externalities generate binary regression to financial fiscal equilibrium, trigger structural and cyclical public budgetary deficit and fiscal cliff. This research explores counterfactual balancing measures to compensate the fiscal deficit from climate physical risk: effectively allocating resources and conducting the financial fiscal intervention, building greening fiscal financial system for creating climate fiscal space. [ABSTRACT FROM AUTHOR]

This article provides panel data estimations of the tax revenue determinants in VG (Visegrad Group) countries (the Czech Republic, Hungary, Poland, and Slovakia) for the period 1994–2023. The aim of this research was to determine how the macroeconomic determinants affect the tax revenues in the selected countries. Within the static models, the Hausman test showed that the FE (fixed effects) model is appropriate and reflects the significant effects of the gross domestic product, population, inflation, unemployment, import, government revenue, government expenditure, and EU enlargement on the tax revenue. The PMG (Pooled Mean Group) model is an adequate model among the dynamic models and manifests the significant effect of the lagged value of the tax revenue. In the short term, growth of the gross domestic product and population by 1% causes higher changes in the tax revenue of 0.14% and 2.93%. Likewise, growth of the inflation rate by 1% decreases the tax revenue by 0.037%, which is higher than in the long term. Further, the results show that EU enlargement is significant for tax revenue in the short term, as well as in the long term. In the long term, unemployment has a greater significant effect on tax revenue, where 1% growth decreases the tax revenue by 0.15%. In contrast, government revenue is significant for tax revenue only in the long term, where 1% growth increases the tax revenue by 0.77%. [ABSTRACT FROM AUTHOR]

Copyright of Journal of the Cukurova University Institute of Social Sciences is the property of Cukurova University Institute of Social Sciences and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This study investigates the determinants of tax revenue performance in South Africa using time series data from 1990-2018. The study uses Augmented Dickey Fuller and the Kwiatkowski-Phillips-Schmidt-Shin (KPSS) tests to test stationarity in time series, while Johansen cointegration and error correction models identify long-run and short-run dynamics among variables. The results of the study revealed that Gross Domestic Product (GDP) per capita, foreign direct investment, and trade openness are statistically significant and positively related to tax revenue performance. Unemployment was found to be statistically significant but also negatively correlated with tax revenue performance, while inflation was found to be negative but not statistically significant . The research's diagnostic tests confirmed the validity of the study model, revealing no serial correlation, heteroscedasticity, and a stable and correctly specified model. This study assists policy makers in having a thorough understanding of the determinants of tax revenue performance, and as a result, policymakers may create tax laws that complement the nation's economic environment. Knowing which variables, like GDP per capita, foreign direct investment, and trade openness, have a favourable impact on tax collection allows for more focused policy interventions. Understanding the relationship between tax rates and revenue performance is helpful in determining the ideal tax rates. Based on empirical data, policymakers can modify tax rates to maximise revenue without inhibiting economic growth. The study recommends that the South African government should enhance GDP, encourage foreign direct investment, decrease unemployment, and promote trade openness to enhance tax revenue performance. [ABSTRACT FROM AUTHOR]

This study aims to investigate the macroeconomic impact of fiscal policy in Türkiye, where fiscal policy faces several challenges. Using annual time series data from 1980 to 2021, we examine the impact of tax and public expenditure subcomponents on GDP using the augmented autoregressive distributed lag (A-ARDL) bound test approach proposed by Sam et al. (2019). The A-ARDL test results indicate that tax revenue has a positive impact on economic growth in the short run, while tax revenue has a negative impact on economic growth in the long run. Furthermore, we conclude that increases in current and investment expenditures have a positive impact on economic growth in the short and long run, while increases in transfer expenditures have a negative impact on economic growth in the short run. [ABSTRACT FROM AUTHOR]

The purpose of this study is to examine the impact of taxpayer awareness and the application of e-billing on tax revenue which is then strengthened by the understanding of information technology. This study involved 114 registered taxpayers at the Sleman and Yogyakarta Tax Office. The research method applied is Partial Least Square (PLS) modeling using smartPLS 4.0 software assistance to analyze the data. This study shows that partially taxpayer awareness and the application of e-billing have an influence on tax revenue, and understanding information technology is able to strengthen the relationship between taxpayer awareness and the application of e-billing on tax revenue partially. this study adds the moderating variable of understanding information technology which is still rarely studied as a novelty in research.

The paper proposes a novel framework for digitalising tax revenue for the Zimbabwe’s informal economic sphere. The study addresses the pressing chalelnge of informal economy taxation, indetifying the absence of a modern (or contemporary) tax framework as a critical catalyst for this study. The purpose of the study was to to devise an innvovative framework tailored to improve tax revenue collection efficiency from the informal economic sector in Zimbabwe. Employing a mixed method approach deemed effective complex subject, data were gathered through structured questionnaire and in-depths interviews. The findings of this study reveals that the existing presumptive tax system is ineffective and insignificantly contributing to the treasury. Based on the results, the study developed a comprehensive contempoary framework designed specifically for tax revenue collection from the informal economic sphere in Zimbabwe. The study, therefore, advocates for the adoption of the proposed framework to streamline tax collection processes within the informal economy, thereby bolstering economic growth and inclusivity.

This study investigates the effect of the shadow economy on tax revenue and the moderating effect of mobile phone penetration in Sub-Saharan Africa. Using data on 26 SSA countries over 11 years and employing the system General Method of Moments (GMM) approach, the study reveals that the shadow economy has a significant negative effect on tax revenue in SSA, whereas mobile phone penetration has a significant positive effect on tax revenue. Again, mobile phone penetration plays a moderating role in the shadow economy–tax revenue nexus in SSA. Governments in the SSA region need to update their tax administration systems, construct and enhance infrastructure linked to emerging mobile technology, and implement best practices in tax regulations. Lastly, governments and telecommunications companies should implement some kind of consumer education in the informal sector to raise awareness of the advantages of using mobile phones for business transactions and the simplicity of paying taxes using a mobile device.

This study aims to calculate the relationship between tax rates and revenues of wine and raki coming to Istanbul for consumption from different regions of the Ottoman Empire in the period 1792-1839 with the T Test and interpret it according to the Laffer theorem. The main question of the study can be formulated as what kind of change did the increases in the tax rates of wine and raki in 1810, 1822 and 1831 cause in the tax revenue of these goods. This question can also be expressed as whether the Ottoman Empire should or should not increase the tax rates of wine and raki in order to increase tax revenue. In order to achieve this goal and resolve the question, the tax revenues of the period 1792-1839 were obtained from the financial records in various funds of the Presidential Ottoman Archives (BOA) and the changes in these revenues with the change in tax rates were calculated with the T Test. The results of the test will show, according to the Laffer Theorem, whether the Ottoman Empire increased the tax rates of wine and raki, causing an increase or decrease in the tax revenues of these goods, that is, whether the tax rates were above or below the optimum tax rate. The possible result expected to be obtained from this study is that the increase in the tax rates of raki and wine in the Ottoman Empire did not cause an increase in tax revenue, but on the contrary, a decrease. In other words, it can be said that the tax rate increases in these two goods in the Ottoman Empire fell behind the price increases.

Addressing the challenges and implications of taxing the digital economy through the concept of Digital Permanent Establishment [DPE] is the main focus of this article. Traditional tax systems based on physical presence are inadequate for digital businesses that generate significant revenues without a physical footprint. The research examines whether the introduction of DPE can increase tax revenues in countries where digital services are provided. The hypothesis is that DPE will lead to higher tax revenues by capturing profits that are currently shifted to low-tax jurisdictions. The objectives of the article are to analyse the potential effectiveness of DPE in increasing tax revenues, the barriers to increasing tax revenues of DPE, and to compare the economic impact between countries that have adopted DPE and those that have not. The research methodology includes legal analysis, historical analysis and comparative analysis of approaches from chosen countries. Challenges and other factors affecting the enforceability and profitability of the tax reduce the expected finding that countries that have adopted DPE have seen an increase in tax revenues from digital services. This does not mean that DPE is effective in combating base erosion and profit shifting [BEPS] in the digital economy. However, the study also highlights administrative challenges and the need for international coordination to avoid double taxation. In conclusion, the article's findings confirm that DPE can increase tax revenues and contribute to fairer taxation of the digital economy. It provides new insights into the implementation and impact of DPE and highlights its potential to modernise international tax systems. The findings underline the importance of adapting tax policies to the realities of the digital economy. [ABSTRACT FROM AUTHOR]

Nations attempt to attract major enterprises to their territories by implementing lower tax rates while simultaneously enhancing tax collection efficiency within their jurisdictional boundaries. In this study, we scrutinize the correlation between the Baltic countries' tax systems and the levels of the shadow economy inherent to their respective economic landscapes. Our analysis indicates that tax reform can substantially influence diminishing the corporate shadow economy within a society. More specifically, our research delves into how economic growth can mitigate the corporate shadow economy, primarily driven by shifts in tax collections within Lithuania. Utilizing quarterly data from 2002 to 2022, we use panel regression and causality analyses as the overall analytical approach. The analyses uncover a complex relationship between various effective taxes and the extent of the shadow economy. Notably, we find that while an increase in the effective income tax rate is associated with a growing shadow economy, an uptick in the effective corporate income tax rate has the opposite effect, reducing its scale. Additionally, a rise in the effective VAT rate is linked to an expanded shadow economy. However, the influence of these effective taxes on imports has limited significance in regulating the scope of the shadow economy, likely due to increased tax evasion incentives. Overall, this study contributes to our understanding of how tax reform can impact the shadow economy and underscores the need for more comprehensive strategies to address this issue. [ABSTRACT FROM AUTHOR]