Dalton discusses the economic effect of taxation under the following three heads: 1. Effect of Taxation on Production, 2. Effect of Taxation on Distribution 3. Other Effects. 1. Effect of Taxation on Production: According to Dalton effect of taxation on production can be in the following three ways: (a) Effect on ability to work, save and invest. (b) Effect upon [...]
After reading this article you will learn about the characteristics and views about the sound tax system. Characteristics of a Good Tax System: Any system of taxation must be looked at as a whole. That is part of the economic system. Different taxes possess different effects upon the various economic activities. Moreover, these taxes through their effects correct and balance [...]
After reading this article you will learn about the principle of equity in distribution of tax burden. There has been little interest among philosophers and statesman in the theories of taxation, until the commencement of the eighteenth century. With the advent of the eighteenth century, for several hundred years, in the field of public finance systematic efforts has been made [...]