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Bank transactions: pathway to the single tax ideal A modern tax technology;the Brazilian experience with a bank transactions tax (1993-2007)

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  • Cintra, Marcos

Abstract

Globalization is eroding the efficiency of conventional taxes, such as VAT´s (value added taxes). Meanwhile, a new form of taxation, levied on bank transactions, was successfully used in Brazil (1993-2007). Based on digital technology, this tax innovation proved to be evasion-proof, more efficient and less costly than orthodox tax models. Furthermore, the significant revenue-raising capacity of bank transactions taxation revived the centuries old ideal of the Single Tax. This book carries out a qualitative and quantitative in-depth comparison of the efficiency, equity and compliance costs of a bank transactions tax relative to orthodox tax systems, and opens new perspectives for the use of modern banking technology in tax reform across the world.

Suggested Citation

  • Cintra, Marcos, 2009. "Bank transactions: pathway to the single tax ideal A modern tax technology;the Brazilian experience with a bank transactions tax (1993-2007)," MPRA Paper 16710, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:16710
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    More about this item

    Keywords

    bank debit tax; tax reform; taxation; bank transactions tax;
    All these keywords.

    JEL classification:

    • H22 - Public Economics - - Taxation, Subsidies, and Revenue - - - Incidence
    • H21 - Public Economics - - Taxation, Subsidies, and Revenue - - - Efficiency; Optimal Taxation
    • H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion and Avoidance

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