ERIC Number: ED135673
Record Type: RIE
Publication Date: 1976
U.S. Taxation of Business: Relevance of the European Experience. German Studies Notes.
McLure, Charles E., Jr.
American and European business taxation policies are compared in this booklet. Topics discussed in the paper include effects of the corporation income tax, integration of income taxation, and the value added tax. Two major differences between the American and European systems are noted. First, European countries derive substantial portions of their tax revenues from the tax on value added (TVA), a form of general sales tax, whereas the federal government of the United States levies no general sales tax. The second important difference is that most common market members allow relief from the double taxation of dividends, whereas the United States business tax system allows no such exemption. The author concludes that the present American system of taxing corporation source income has serious defects from both allocating and distributional points of view and that there should be at least partial integration of the corporation income tax and the personal income tax. Footnotes and references are included. (Author/DB)
Descriptors: Business, Capital, Comparative Analysis, Costs, Economics, Finance Reform, Financial Policy, Financial Problems, Government Role, Private Financial Support, Public Policy, Statistical Analysis, Tables (Data), Tax Allocation, Tax Rates, Taxes
Institute of German Studies, Ballantine Hall 655, Indiana University, Bloomington, Indiana 47401 ($1.00)
Publication Type: Speeches/Meeting Papers
Education Level: N/A
Sponsor: Volkswagen Foundation, Hanover (West Germany).
Authoring Institution: Indiana Univ., Bloomington. Inst. of German Studies.
Note: Paper presented at a Symposium on German Economic Growth and Stability (Indiana University, Bloomington, February 16-17, 1976)