Social Impact of a Tax Reform

Released on by Stanley Sang-Wook Cho
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  • Social Impact of a Tax Reform Book Detail

  • Author : Stanley Sang-Wook Cho
  • Release Date : 2003-11-01
  • Publisher : International Monetary Fund
  • Genre : Business & Economics
  • Pages : 40
  • ISBN 13 : 1451875584
  • File Size : 74,74 MB
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Social Impact of a Tax Reform by Stanley Sang-Wook Cho PDF Summary

Book Description: This paper provides an assessment of the poverty and social impact of replacing Ethiopia's sales tax with a value-added tax (VAT). The results indicate that this reform has not had a major adverse effect on the poorest 40 percent of the population. The VAT is progressive in its incidence, and the higher revenues brought about by the VAT can provide additional funds for poverty-reducing spending, including primary education. At the same time, there is significant scope for making education spending more pro-poor by increasing the access of low-income households to schools.

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