by T. R. Reid
interest groups, 41, 56–57, 62, 66, 68, 225
Internal Revenue Code. See tax code
Internal Revenue Service (IRS), 30, 35, 72, 75
art appraisal office of, 83–84
commissioners of, 161, 210, 213, 249
complexity and, 39, 55, 83, 97–98, 130, 194, 209, 213, 215–16, 249
dislike of, 24, 26, 212
expenses/revenues of, 214–15, 241, 256
and filing returns, 222–24, 255
taxpayer advocate of, 211–16, 220
underfunded, 161, 163
See also audits; specific tax types
International Consortium of Investigative Journalists, 198–99
International Fiscal Association, 229
International Monetary Fund (IMF), 50–52, 57, 103, 112, 158, 175, 182, 185–86, 237–38
international organizations, 49–52, 56–57, 203
International Tax Handbook, 191–92
Internet, 49–50, 86, 105, 121, 200, 234, 255
Intuit, 224
investment, 36, 50, 55, 57, 167, 254–56
accounts, 9, 129
bankers, 119, 137
in eastern Europe, 105–10
encouraging of, 41, 241
houses, 182–83
income, 111, 124, 136–39, 192–93, 223
taxes on, 136–39, 173, 233
See also capital investment
IRA deposits, 9, 69
Ireland, 19, 33, 86, 175
corporate taxes of, 22, 145–46, 149–50, 152, 166
tax reform in, 69–70
tax revenues of, 14–15
and U.S. corporations, 147, 149–53, 156–57, 162, 164
VAT rates of, 41, 239–40
IRS Offshore Voluntary Disclosure Program, 201
IRS Restructuring and Reform Act of 1998, 211–12
Israel, 15, 20, 89–90, 146
Italy, 14, 17, 29–30, 33, 147
and FTT tax, 181, 183
and tax breaks, 78, 86
tax bureau in, 24–25
VAT rates of, 41–42, 240
Japan, 30, 33, 71, 131, 147, 187, 228
corporate taxes of, 22, 146
deductions in, 86, 89–90
gas tax in, 20–21
simple returns of, 7, 220–21, 223
tax bureau in, 25, 220
tax revenues of, 15, 17
and VAT, 238, 240
Jersey, isle of, 157
Jesus Christ, 28, 44, 134–35
job creation, 41–44, 91, 123, 125, 136, 162, 168–69
Johnson, Paul, 91
Johnson Controls, 156
Joint International Tax Shelter Information and Collaboration Network (JITSIC), 204–5, 207
Journal of Public Policy, 58
Kažimír, Peter, 112–13
Kennedy, John F., 75, 120
Keynes, John Maynard, 50, 54
Kiwis, 58–60, 62, 65
Kleinbard, Edward D., 148
Koskinen, John, 161, 210, 213
Kotlikoff, Laurence J., 169–70
Laar, Mart, 102–4
labor, taxes on, 17, 58, 123, 136–37, 173
labor/labour parties, 43, 60, 91, 189–90
land, taxes on, 46, 52, 83, 173–76
La taxe sur la valeur ajoutée (Lauré), 228
Latvia, 15, 106, 109
Lauré, Maurice, 227–29, 232
lawyers, 13, 62, 109, 169, 205–6, 211. See also Mossack Fonseca; tax avoidance
left, the, 43, 80, 107, 109, 112–13, 126–27, 137–38, 170, 175, 247, 253
Levin, Carl, 148, 162–63
Lew, Jacob, 161–62
Lewis, Al, 158
liberals, 2, 12, 43, 58, 64–65, 68, 78, 127, 188, 190, 236, 244, 248
life insurance, 61, 78, 80
Lithuania, 106, 109
loans, 29, 51, 69, 70, 155, 166, 181, 221
lobbyists, 41, 57, 67, 70, 89, 168, 177–78, 180, 183, 224–25, 240, 245, 252
Long, Russell, 74
Luntz, Frank, 131–32
Luxembourg, 15, 164, 183, 203–4
luxury goods, 239
Macau, 194–95
McCain, John, 44, 150–51
McTigue, Maurice, 62, 251
Malaysia, 136, 200, 240
Mankiw, N. Gregory, 170
manufacturers’ sales tax (MST), 243–44
manufacturing companies, 11, 107–8, 141–45, 153, 156, 187
Maori tribe, 58–59
Marlborough wine region, 60
Martin, Lucy, 47
Massachusetts, 35, 45, 64, 223
media, 44, 74, 120, 127, 197–200, 204, 207–8
Medicaid, 63, 79, 157, 174, 234
Medicare, 17, 79, 157–58, 246
medicine, 52, 55, 156–58, 165, 237, 239
Mexico, 19–20, 24, 51, 120, 240
corporate tax of, 22, 146
fat/sugar tax in, 38–39, 177–79
and safe water, 39, 177–79
tax revenues of, 14, 16
Microsoft, 151, 153–54
Middle East, 34, 152, 155, 167, 187, 191–95
Mikloš, Ivan, 106–8
Monaco, 194–95
Monitor Securities Corporation, 160
mortgage interest deduction, 8–9, 53, 61, 69, 75–76, 78, 80, 88–91, 100, 252
eliminated in Britain, 90–91
Mossack Fonseca, 197–203, 205, 207–8
Mulroney, Brian, 243–44
Murdoch, Rupert, 190, 199
NASA, 168, 174
National Bureau of Economic Research, 168
National Commission on Fiscal Responsibility and Reform, 56
national parks, 34, 103, 168
National Taxpayer Advocate, 211–16, 220
nation-state concept, 34
Native Americans, 58, 80
Netherlands, 20, 87, 131, 146
deductions in, 86, 89–90
and Google, 152–53
simple returns of, 7, 219–21
and tax avoidance, 164, 167
tax reform in, 69–70
tax revenues of, 15, 17
and VAT, 10, 235, 240
Nevada, 204
New York Times, 115, 155, 162, 187, 198, 224
New Zealand, 18, 65, 166
BBLR in, 57–63, 86, 136
deductions in, 89–90
GST in, 11, 19, 61, 228, 238, 240, 243
tax reform in, 57–63, 65, 69, 107, 251
tax revenues of, 15, 79
Nigeria, 24–25, 35, 47
Nikoloudis, Panagiotis, 47
Norway, 15, 17–18, 20, 79, 87, 120, 129, 132, 146, 240
Obama, Barack, 39, 56, 132, 188, 205, 229
on corporate taxes, 158, 166
on economic inequality, 43–44, 117–20, 253
tax reform of, 88, 125, 137–38, 241
Obermayer, Bastian, 197–98, 207–8
obesity, 38–40, 176–78, 180
Occupy Wall Street, 116–17, 119, 127
Ódor, Ludovit, 107–8, 111
oil, 22, 32, 34, 36, 39, 64, 73, 186–87, 191–93
Olson, Nina, 211–16, 218–19, 221
online purchases, 234
Oregon, 19, 245
Organization for Economic Cooperation and Development (OECD), 20, 77, 89, 128, 228
on BBLR system, 57, 70
BEPS plan of, 163
member countries of, 59, 120, 145
role of, 50–52
on tax revenues, 14–18
overall tax burden, 13–18, 46, 126, 148, 165, 175
Packwood, Robert, 68
Panama Papers, 195, 197–208
Paris, France, 7, 31, 115, 126, 133, 181, 204
Paul, Rand, 8, 95
payroll taxes, 41–42, 110–11, 173, 192, 233, 242, 246
Peichl, Andreas, 113
penalties, 39–40, 163, 206–7, 211, 243
Pennsylvania, 180, 182
pensions, 17, 63, 108, 126
Perkins, Tom, 119
Perry, Rick, 8, 95
Pfizer, 156–57, 162
pharmaceutical companies, 34, 156–58
Philippine Cigar Case, 30–32
Piketty, Thomas, 115–16, 121–25, 127–28, 136, 139, 171–73, 183
Poland, 15, 102, 109, 119, 138, 240
political contributions, 36, 70, 74, 123, 138
politics, 36, 48, 62, 102, 116, 131–32
Georgism movement, 171–75
polarization of, 12, 63–64, 69, 241–42
of tax breaks, 72, 86, 90
of tax rates, 91, 111–12
of tax reform, 66–68, 91, 224–25
and VAT, 229–30, 236, 241–48
Portugal, 15, 17, 33, 221
President’s Advisory Panel on Federal Tax Reform, 56, 241–43
PricewaterhouseCoopers (PwC), 142–44, 148, 162–63, 252
private sector, 29–30, 42, 122
Progress and Poverty (George), 171–76
progressive income tax, 10, 28–29, 241
advocates for, 44–46, 54, 62, 114, 125, 135
and inequality, 135, 253–54
in other nations, 97, 104–8, 110, 112
in U.S., 97–98, 100–101, 135–36
property
rights, 103–4
taxes, 35, 52–54, 79, 88, 124, 128, 173–76, 191, 193
public programs/services, 27–33, 35, 44, 125–26, 218, 247
Puerto Rico, 153
Putin, Vladimir, 134, 200
Rabushka, Alvin, 96–97
Reagan, Ronald, 12, 64–65, 67–69, 137, 245, 254
real estate, 18, 61, 69, 89–90, 101, 105, 123, 128, 133, 136, 195
recessions, 43, 101, 112, 233. See also Great Recession of 2008–2009
Regan, Donald, 65–67, 250
religious organizations, 84. See also churches
Republicans, 8, 12, 42–44, 64–68, 77, 91, 95–96, 99, 117, 138, 150, 188, 190, 210, 214, 245–47, 253–54
retail sales tax. See sales tax; value-added tax (VAT)
retirement, 9, 24, 36, 52–53, 81, 246
rich, the, 1, 113, 184
high taxes on, 16–18, 27–29, 34, 97, 120, 123–29, 173–75, 180, 253
lower taxes on, 134–39, 253–54
and tax increases, 43–46, 112
and tax rate cuts, 62, 69, 91, 117
tax-reform plan for, 95–96
top 1%, 18, 44, 67, 116–17, 119, 121, 198
See also superrich, the; tax avoidance: by the rich; tax breaks: for the rich; wealth; specific taxes
Ridley, Matt, 119
“rifle shot” tax provision, 74
right, the, 43, 107, 126–27, 137–38, 175, 247, 253
Robin Hood tax, 180, 183–84
Rogers, Will, 28
Romania, 106, 110
Romney, Mitt, 46, 95, 117, 138–39, 234
Roosevelt, Franklin Delano, 159, 171
Roosevelt, Teddy, 135
Russia, 32, 101–2, 106, 109, 111, 129, 134, 200, 240
sales tax, 11, 69, 230–36
and BBLR, 52, 55–56, 58
in eastern Europe, 108, 114
on financial transactions, 180–85
local, 19, 69, 230, 234, 242–44, 255
in other nations, 10, 18–19, 61, 128, 133, 235, 239
state, 19, 183, 242–43
in U.S., 10, 17, 19, 37, 96, 173, 193, 247
world’s highest, 18, 41, 111
See also value-added tax (VAT)
Sanders, Bernie, 132, 138, 158, 172, 180, 184–85, 253
Sarkozy, Nicolas, 127, 133
savings, 9, 33, 36, 116, 128–29, 173–74, 181–82, 233, 241, 255
Scandinavia, 105
schools, 24–25, 29, 63, 117, 175, 237, 239
Schuchat, Frank, 139
Schwarzman, Stephen, 119, 138
Scott, Graham, 11, 60–63, 65
securities, 23, 84, 123, 160, 181–85, 255
Securities and Exchange Commission, 163, 181
seigniorage gain, 33
self-employed, the, 63, 223
Seligman, Edwin R. A., 45, 135
Serbia, 106, 110
single-rate tax. See flat-rate income tax
Single Tax (Georgist), 173–76
sin tax, 37–39
Skadden, Arps firm, 154
Slemrod, Joel, 43, 238
Slovakia, 10, 15, 23, 106–13
Slovenia, 15, 94
slumps, economic, 37, 41–42, 51, 101, 103, 107, 113, 172, 233, 235, 238
Smith, Adam, 37–38, 44–45
Social Security, 103, 126
in flat-rate tax countries, 110–11, 114
in other nations, 133, 192, 221
in U.S., 17, 41–42, 63, 75, 79, 165, 173–74, 186, 234, 246
soda pop tax, 10, 38–39, 176–80, 185
South Africa, 240
South Korea, 14–15, 17, 19, 21, 24, 36, 77, 146, 181
Soviet Union, 94–95, 101–6, 109–11, 220. See also Russia
Spain, 19, 24, 31, 131, 147, 183
simple returns of, 221
tax revenues of, 15, 78
VAT rates of, 25, 41, 194, 240
wealth tax of, 129
Starbucks, 164, 166–67
state taxes, 13, 17, 19–20, 35, 52–56, 63, 69, 88, 131, 147, 156, 193, 222, 255
Steinmo, Sven, 36
Stiglitz, Joseph, 125
stimulus measures, 42, 52
stockholders, 23, 122, 150, 156–57, 168–70
stock market, 101, 111, 118, 136–37, 141, 180–85, 254
stocks/bonds, 18, 69, 88, 123, 128, 147, 151, 160, 195, 203
subsidies, 60, 72, 76, 79, 103
Süddeutsche Zeitung, 197–98. See also Obermayer, Bastian
sugar tax, 37–40, 176–80
Sullivan, Martin, 169
Summers, Lawrence, 188, 211, 248
Sun Yat-sen, 171
superrich, the, 117, 122, 134–39
Surrey, Stanley, 72, 75–77, 79–80, 82, 86
Sutton, Willie, 128
Sweden, 18–19, 22–24, 86–87, 102, 105, 126
corporate taxes of, 146
economic equality in, 120–21
and inheritance tax, 132
simple returns of, 221
stock trades taxed by, 181–82
tax revenues of, 14–17
VAT rates of, 240
Sweers, Michiel, 235
Switzerland, 49, 86, 117, 129, 181
corporate taxes of, 54, 143, 145–46, 164, 166
and tax avoidance, 164, 167, 202–7
tax revenues of, 14–15
and U.S., 54, 143–45, 147, 156–58, 162–63, 166–67
Taft, William Howard, 31–32
tax agencies/bureaus, 39, 105, 182, 232
despised in U.S., 24, 26
faith in government enhanced by, 46–47
and ombudsman, 211, 219
in other nations, 24–25, 35, 219–21, 227–28
and tax avoidance, 163, 201–2
See also audits; Internal Revenue Service (IRS)
Tax Analysis Center, 166
taxation
and bad behavior, 37–41, 175–80
and good behavior, 36–37, 40, 73
history of, 1–3, 34–35, 45–46, 64–70, 126
important rule of, 48, 52
“neutral,” 37, 54, 58, 73
reasons for, 28–32, 35–48, 126
tax avoidance, 73, 213, 215, 232, 241, 252
and citizenship, 194–95
critics of, 66, 158–64, 199, 204
“Double Irish with a Dutch sandwich,” 151–53, 161, 164
earnings skimming, 155, 163, 166
inversion, 154–58, 161–62
investigations into, 51, 149–51, 154, 162–64, 198–99, 202–8
offshore tax havens, 200–202, 205, 207
profit shifting, 143–45, 148–49, 152–53, 158, 162–63, 165–70
by the rich, 54–55, 66, 109, 124, 133, 139, 197–208
shell companies, 152, 160, 199–204
and unfair tax system, 218, 221
See also corporate income tax: avoidance of; Philippine Cigar Case; specific countries
tax breaks, 9–10, 53–54, 64–65
advocates for, 56–57, 67–68, 72
elimination of, 60–61, 68–69, 86–91, 119, 125, 138, 219, 251–52, 255
for good behavior, 36–37, 40, 73
and loss of revenue, 78–82, 85–90
for the rich, 68, 70–77, 87–90, 98, 122, 125, 136–39, 252, 254
tax codes complicated by, 40–41, 222
tax expenditures as, 74–81
See also corporations: tax breaks for; tax preferences; specific types
tax code, 212–13
anti-complexity clause of, 5, 70, 211, 249
complexity of, 2, 48, 68, 73–74, 130, 209–19, 250
history of, 1–3, 69–70
in other nations, 219, 221, 255–57
simplifying of, 55, 214, 218–19, 225, 238, 241, 255
unified, 107–8, 228
See also tax reform
tax collection, 7, 11, 17, 34–35, 47, 55, 83–84, 166, 214–15, 219, 227–38, 243
“Tax Complexity Lobby,” 224–25
Tax Equity and Fiscal Responsibility Act (TEFRA), 64
tax expenditures, 74–81, 87–88, 91, 224, 252. See also specific taxes
Tax Foundation, 148, 247
tax-free countries/states, 183, 191–95
tax-free items, 237, 251
tax-free savings, 9
tax justice, 45, 135
tax law, 50, 64, 68–69, 148–50
complexity of, 2, 5–7
first in U.S., 45–46
violations of, 158–59
writers of, 10, 112–13, 123, 209–13, 245, 252
Tax Law Design and Drafting (Thuronyi), 158
Tax Policy Center, 136, 184, 247
tax preferences, 54, 68
carried-interest, 137–39, 254
elimination of, 55–57, 66–67, 219, 251–52, 255
