A theoretical Argument in favor of Tax Exemption of Over-Time Labor

Une justification théorique de la défiscalisation des heures supplémentaires: la macrojustice de Kolm

Jean-Sébastien Gharbi ()
Additional contact information
Jean-Sébastien Gharbi: REGARDS - Recherches en Économie Gestion AgroRessources Durabilité Santé- EA 6292 - URCA - Université de Reims Champagne-Ardenne - MSH-URCA - Maison des Sciences Humaines de Champagne-Ardenne - URCA - Université de Reims Champagne-Ardenne

Post-Print from HAL

Abstract: Tax exemption on overtime labor must be understood as a radical change in the taxation of labor's income. More precisely, it means that individual productive capacities become the genuine tax base. The key idea behind this rule would be to make income tax more efficient by increasing incentives to work for individuals. Moreover, this point was emphasized at the time of his recent adoption in France. However it remains problematic to notice that, in spite of the importance of such a change, the exemption on overtime labor does not rely on a well-defined theoretical framework. This paper aims at presenting and analyzing one of the major specificities of the Equal Labor Income Equalization model (or ELIE model) proposed by Kolm (2005): it provides a theoretical argument for such a form of tax exemption. Aiming to reach a redistribution which would be both fair and perfectly efficient, Kolm's model appears indeed as a transposition of the optimal taxation theory.

Keywords: Tax exemption; Optimal Taxation; ELIE; Défiscalisation; Fiscalité optimale (search for similar items in EconPapers)
Date: 2009-09-09
References: Add references at CitEc
Citations:

Published in Thomas barnay; François Legendre. Emploi et politiques sociales. 2, Trajectoires d'emploi et rémunérations / XXIXes Journées de l'Association d'économie sociale [des 17 et 18 septembre 2009] ; TEPP, CÉE et Érudite, Université Paris XII-Val-de-Marne, Faculté de sciences économiques et de gestion, L'Harmattan, pp.333-346, 2009, 978-2-296-09999-9

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

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:hal:journl:hal-02018666

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().