Personal income taxation and the principle of equal sacrifice revisited

Tapan Mitra, Ahmet Ok

    Research output: Contribution to journalArticle

    Abstract

    This paper shows that, in the domain of piecewise linear statutory income tax functions, the principle of equal sacrifice implies tax progressivity. The progressivity implication of the doctrine is, in fact, stronger: the equal sacrifice principle, in essence, characterizes marginal rate progressivity, a result which is in sharp contrast with the standard literature on public finance. We also apply our findings to the personal statutory income taxation practices of the OECD countries and observe that the United States and Turkey were the only ones violating the principle of equal sacrifice in the time period 1988 to 1991.

    Original languageEnglish (US)
    Pages (from-to)925-948
    Number of pages24
    JournalInternational Economic Review
    Volume37
    Issue number4
    StatePublished - Nov 1996

    Fingerprint

    Personal income taxation
    Progressivity
    Tax progressivity
    OECD countries
    Turkey
    Income tax
    Public finance

    ASJC Scopus subject areas

    • Economics and Econometrics

    Cite this

    Personal income taxation and the principle of equal sacrifice revisited. / Mitra, Tapan; Ok, Ahmet.

    In: International Economic Review, Vol. 37, No. 4, 11.1996, p. 925-948.

    Research output: Contribution to journalArticle

    Mitra, Tapan ; Ok, Ahmet. / Personal income taxation and the principle of equal sacrifice revisited. In: International Economic Review. 1996 ; Vol. 37, No. 4. pp. 925-948.
    @article{7a89ebc0ee7e4760840324daff505cfb,
    title = "Personal income taxation and the principle of equal sacrifice revisited",
    abstract = "This paper shows that, in the domain of piecewise linear statutory income tax functions, the principle of equal sacrifice implies tax progressivity. The progressivity implication of the doctrine is, in fact, stronger: the equal sacrifice principle, in essence, characterizes marginal rate progressivity, a result which is in sharp contrast with the standard literature on public finance. We also apply our findings to the personal statutory income taxation practices of the OECD countries and observe that the United States and Turkey were the only ones violating the principle of equal sacrifice in the time period 1988 to 1991.",
    author = "Tapan Mitra and Ahmet Ok",
    year = "1996",
    month = "11",
    language = "English (US)",
    volume = "37",
    pages = "925--948",
    journal = "International Economic Review",
    issn = "0020-6598",
    publisher = "Wiley-Blackwell",
    number = "4",

    }

    TY - JOUR

    T1 - Personal income taxation and the principle of equal sacrifice revisited

    AU - Mitra, Tapan

    AU - Ok, Ahmet

    PY - 1996/11

    Y1 - 1996/11

    N2 - This paper shows that, in the domain of piecewise linear statutory income tax functions, the principle of equal sacrifice implies tax progressivity. The progressivity implication of the doctrine is, in fact, stronger: the equal sacrifice principle, in essence, characterizes marginal rate progressivity, a result which is in sharp contrast with the standard literature on public finance. We also apply our findings to the personal statutory income taxation practices of the OECD countries and observe that the United States and Turkey were the only ones violating the principle of equal sacrifice in the time period 1988 to 1991.

    AB - This paper shows that, in the domain of piecewise linear statutory income tax functions, the principle of equal sacrifice implies tax progressivity. The progressivity implication of the doctrine is, in fact, stronger: the equal sacrifice principle, in essence, characterizes marginal rate progressivity, a result which is in sharp contrast with the standard literature on public finance. We also apply our findings to the personal statutory income taxation practices of the OECD countries and observe that the United States and Turkey were the only ones violating the principle of equal sacrifice in the time period 1988 to 1991.

    UR - http://www.scopus.com/inward/record.url?scp=0347767862&partnerID=8YFLogxK

    UR - http://www.scopus.com/inward/citedby.url?scp=0347767862&partnerID=8YFLogxK

    M3 - Article

    VL - 37

    SP - 925

    EP - 948

    JO - International Economic Review

    JF - International Economic Review

    SN - 0020-6598

    IS - 4

    ER -