Taxing the Rent of Non-Renewable Resource Sectors: A Theoretical Note

Julien Daubanes () and Saraly Andrade de Sa ()

No 1149, OECD Economics Department Working Papers from OECD Publishing

Abstract: This study analyses the economic rent generated by the exploitation of a non-renewable resource, and the taxation of this rent. We present a synthetic model of a non-renewable-resource sector where deposits must be costly developed before they are exploited; the analysis emphasizes the effect of resource taxation on the discouragement to the development of new reserves. We discuss the limitations of neutral profit-taxation schemes and examine the distortions caused by various resource-taxation systems on the rent and its allocation: tax evasion, royalty-induced distortions, imperfect tax commitment, agency issues... We also discuss the measurement of resource rents for taxation purposes, and issues with the management of the resource tax income.

Taxer la rente d'exploitation des ressources non renouvelables : Une note théorique Cette étude analyse la rente générée par l'exploitation d'une ressource non renouvelable, ainsi que la taxation de cette rente. Dans un modèle simple, nous représentons une industrie minière dont les gisements de ressource non renouvelable, pour être exploités, requièrent des efforts de développement ; l'analyse porte principalement sur les effets néfastes de la taxation sur la production de nouvelles ressources. Nous évoquons les limites à la possibilité théorique de ponctionner les profits de manière neutre, puis examinons les distorsions impliquées par les systèmes de taxation existants : évasion fiscale, capacité d'engagement limitée, redevances distorsives, problèmes d'agence... Nous discutons également les manières d'évaluer les rentes à taxer, et les problèmes relatifs à la gestion des revenus fiscaux issus des secteurs miniers.

Keywords: distorsions fiscales; gestion des revenus fiscaux; non-renewable resources; rentes minières; resource rents; ressources non renouvelables; tax distortions; tax income management (search for similar items in EconPapers)
JEL-codes: H20 Q30 (search for similar items in EconPapers)
Date: 2014-07-21
New Economics Papers: this item is included in nep-acc, nep-env and nep-pbe
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:oec:ecoaaa:1149-en

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