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Simulating personal income tax in South Africa using administrative data and survey data: A comparison of PITMOD and SAMOD for tax year 2018

Author

Listed:
  • Wynnona Steyn
  • Alexius Sithole
  • Winile Ngobeni
  • Eva Muwanga-Zake
  • Helen Barnes
  • Michael Noble
  • David McLennan
  • Gemma Wright
  • Katrin Gasior

Abstract

In this paper we explore South Africa's personal income tax system using two microsimulation models. The first, SAMOD, simulates personal income tax and social benefits using a dataset derived from the nationally representative National Income Dynamics Study survey. The second, PITMOD, simulates the personal income tax system and is underpinned by a dataset comprising a full extract of anonymized individual-level administrative tax data especially constructed for this purpose.

Suggested Citation

  • Wynnona Steyn & Alexius Sithole & Winile Ngobeni & Eva Muwanga-Zake & Helen Barnes & Michael Noble & David McLennan & Gemma Wright & Katrin Gasior, 2021. "Simulating personal income tax in South Africa using administrative data and survey data: A comparison of PITMOD and SAMOD for tax year 2018," WIDER Working Paper Series wp-2021-120, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2021-120
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    References listed on IDEAS

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    Cited by:

    1. Ada Jansen & Winile Ngobeni & Wynnona Steyn, 2023. "A reform option for pension fund contribution as tax expenditure in South Africa: A microsimulation model approach using tax administrative data," WIDER Working Paper Series wp-2023-139, World Institute for Development Economic Research (UNU-WIDER).

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    Keywords

    Microsimulation; Personal income tax; Income distribution; South Africa;
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