Using instruments like information technology and paid preparation of tax returns, private taxpayers have a set of strategies to optimize their compliance cost burden. Assuming rational behavior, private businesses can be expected to choose a cost-optimal administration strategy. Nevertheless,...

We analyze the distributive justice of the combined burden of taxes, social security contributions, and public transfers on employee households. Comparing eight different household types, we utilize the concept of horizontal equity regarding the treatment of families in the German tax-benefit...

This paper analyzes the influence of capital gains taxation on the decision to realize capital gains and losses when gains are tax-exempt after a certain holding period. Theory predicts that high marginal tax rates incentivize investors to realize taxable losses. In contrast, the propensity to...