This Handbook entry presents a conceptual, normative overview of the subject of taxation. It emphasizes the … relationships among the main functions of taxation—notably, raising revenue, redistributing income, and correcting externalities …—and the mapping between these functions and various forms of taxation. Different types of taxation as well as expenditures on …

revenue and rates for corporate income taxation and providing a new contribution by analysing value-added taxation … also cover personal income taxation. They point to diminishing revenue returns of increasing the effective marginal tax …