PERSONAL AND CORPORATE INCOME TAXES AS SOURCES OF LOCAL REVENUES - OPPORTUNITIES AND CHALLENGES

Lyudmil Naydenov ()

Economics 21, 2019, issue 2 Year 2019, 17-33

Abstract: The policy of expanding the tax powers of local authorities leads to the optimisation of vertical financial relations in the public sector and improved economic efficiency and public well-being. Within the context of decentralization (administrative and fiscal one, in particular), regional structures should be equipped with access to profitable revenue-generating tax sources. The paper focuses on the applicability of personal income taxes and corporate taxes at a local level. The pros and cons of using the two types of taxes as sources of revenues to municipalities are analysed, the practice of different countries around the world in the sphrere is reviewed, and, based on those, the author proposes the thesis that taxes on labour incomes should be approached as local or parallel taxes, while there are no grounds for including corporate taxes in the category of local or parallel taxes.

Keywords: local revenue; local government autonomy; personal income tax; corporate income tax (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://hdl.handle.net/10610/4193

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:dat:econ21:y:2019:i:2:p:17-33

Access Statistics for this article

Economics 21 is currently edited by Ivan Varbanov

More articles in Economics 21 from D. A. Tsenov Academy of Economics, Svishtov, Bulgaria Contact information at EDIRC.
Bibliographic data for series maintained by Kostadin Bashev ().