Economic Policy What are the best taxes

Tax policy

Tax policy is the name for all measures taken by the state in the tax area. A variety of objectives can be pursued with these measures. For example: fiscal goals (e.g. increase in tax revenue), economic policy goals (e.g. a tax cut can increase the disposable income of citizens and thus overall economic demand), socio-political goals (e.g. through tax relief for families ), 0 population policy goals (e.g. through high child allowances), health policy goals (e.g. through the tobacco tax).

In socialist economics: summary of the efforts and objectives to realize state tasks with the help of taxes. It is part of the state's economic policy. Because in the nineties the tax payments of German corporations were extremely low due to relocations. but this succeeds less and less.

1. Macroeconomic: all tax measures to achieve financial, economic and socio-political goals. The objectives of tax policy can be of a fiscal nature, e.g. B. Increase in tax revenue. In addition, tax policy is used to achieve economic policy goals (—fiscal policy). Finally, tax policy measures serve to achieve socio-political goals. Examples: consumption control (spirits tax), social policy (progressive tax system), population policy ("bachelor tax"). The means of tax policy are the variation of tax rates and the tax base. 2. Business management: all measures to achieve tax policy, in particular tax balance sheet policy, corporate goals, such as minimizing tax expenses, tax payments, the tax present value or maximizing the net present value of a company (business tax theory, tax planning).

Part of state financial policy that understands taxes as a means of achieving a society's goals. Fiscal tax policy can be disregarded here because it is not a conscious tax policy, but only serves to finance an expenditure program by means of which the economic policy goals are to be achieved. Knowledge of the tax effects is necessary for the effective use of tax policy. The goals of tax policy correspond to those of general economic policy insofar as they can be realized with the instruments of taxes. Taxes are therefore to be seen as efficient alternative instruments, whereby the tax revenue can only be regarded as an expected parameter, whereas the tax rate and tax base or their changes represent the action parameters of tax policy.

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