Influence of Replacing Business Tax with Value-added Tax on the Development of China’s Tourism Industry

value added tax and tax evasion

The phenomenon of tax evasion has been always one of the most major issues among economists due to it's devastating effects on the economy and the process of economic development. Many scholars have always sought to provide solutions to reduce and limit tax evasion. The introduction of the VAT system can be seen as a milestone in the area of economic transparency and tax evasion, which refers t...

Replacing the Social Security Tax with a Value-Added Tax: Policy Perspectives

The Added Value of Value Added Tax

Raising domestic tax revenues is a priority for most sub-Saharan African countries. But the tax bases in most African countries are undermined by widespread tax avoidance and evasion. A new study from CMI supports the claim that improved knowledge about the tax system makes a difference in people’s willingness to pay tax. The study shows that exposure to Value-AddedTax (VAT) makes people take a...

The Impact on Investment of Replacing a Retail Sales Tax by a Value-Added Tax: Evidence from Canadian Experience

Over a decade ago, several Canadian provinces replaced their retail sales taxes by value-added taxes. This paper estimates the effects of this tax substitution on business investment in the reforming provinces. Consistent with theory, we find that the reform led to significant increases in machinery and equipment investment, in the short run at least. This evidence suggests that a similar refor...

Effect of Value Added Tax (VAT) on Public Sector’s Economy Stability in Iran (with Promoting Ethics and Tax Culture Approach)

Background: Value added tax as an indirect tax is one of the effective sources of government tax revenue and the study of its economic effects is the focus of many economic studies. Therefore, the purpose of this article is to investigate the effect of VAT on the stability of the public sector economy in Iran with the approach of promoting tax ethics and culture. Method: The present study was ...