Agersnap, Ole
The tax elasticity of capital gains and revenue-maximizing rates /Ole Agersnap, Owen Zidar .-- , 2021
Resumen.
Bibliografía.
This paper uses a direct-projections approach to estimate the effect of capital gains taxation on realizations at the state level and then develops a framework for determining revenue-maximizing rates at the federal level. We find that the elasticity of revenues with respect to the tax rate over a 10-year period is –0.5 to –0.3, indicating that capital gains tax cuts do not pay for themselves and that a 5 percentage point rate increase would yield $18 to $30 billion in annual federal tax revenue. Our long-run estimates yield revenue-maximizing capital gains tax rates of 38 to 47 percent.
PLUSVALIAS
IMPUESTOS
ELASTICIDAD IMPOSITIVA
ESTADOS UNIDOS
Zidar, Owen
The American Economic Review 2640-205Xv. 3, n. 4, December 2021, p. 399-416
The tax elasticity of capital gains and revenue-maximizing rates /Ole Agersnap, Owen Zidar .-- , 2021
Resumen.
Bibliografía.
This paper uses a direct-projections approach to estimate the effect of capital gains taxation on realizations at the state level and then develops a framework for determining revenue-maximizing rates at the federal level. We find that the elasticity of revenues with respect to the tax rate over a 10-year period is –0.5 to –0.3, indicating that capital gains tax cuts do not pay for themselves and that a 5 percentage point rate increase would yield $18 to $30 billion in annual federal tax revenue. Our long-run estimates yield revenue-maximizing capital gains tax rates of 38 to 47 percent.
PLUSVALIAS
IMPUESTOS
ELASTICIDAD IMPOSITIVA
ESTADOS UNIDOS
Zidar, Owen
The American Economic Review 2640-205Xv. 3, n. 4, December 2021, p. 399-416