Political Economy of Multi - Level Tax Assignments in Latin American Countries:Earmarked Revenue Versus Tax Autonomy
Author | : Giorgio Brosio |
Publisher | : International Monetary Fund |
Total Pages | : 32 |
Release | : 2008-03 |
ISBN-10 | : UCSD:31822036949915 |
ISBN-13 | : |
Rating | : 4/5 (15 Downloads) |
Download or read book Political Economy of Multi - Level Tax Assignments in Latin American Countries:Earmarked Revenue Versus Tax Autonomy written by Giorgio Brosio and published by International Monetary Fund. This book was released on 2008-03 with total page 32 pages. Available in PDF, EPUB and Kindle. Book excerpt: A weakness of decentralization and overall tax reforms in Latin America is the lack of attention to adequate taxation at the subnational government. A reliance on shared taxes with extensive earmarking leads to weak subnational accountability and soft budget constraints. The paper explores the options for expanding subnational taxation in Latin America. A range of subnational tax instruments might be considered, but interactions between new tax assignments and the system of transfers is important from a political economy perspective.