Should Jamaica Tax Corporate Income?
AbstractThis article evaluates Jamaicaâ€™s corporate income tax and tax incentive schemes. There are considerable administrative burdens and economic distortions associated with Jamaicaâ€™s income tax regime that result from taxing capital income in a â€œsmall open economy.â€ These burdens make a strong argument for repealing Jamaicaâ€™s corporate income tax. However, this tax is an important source of government revenue, and the political realities are such that repeal may not be a viable option. That being the case, Jamaica may have little choice but to try to broaden the tax base by trimming back on the tax incentive regime, committing the resources needed to improve enforcement of the corporate income tax, and lowering the tax rate in a revenue neutral manner. This approach would have the advantage of preserving an important source of tax revenue, staunching the erosion of the personal income tax base due to income shifting, and reducing the complexity and economic distortions associated with the current tax structure.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by in its journal Public Finance Review.
Volume (Year): 35 (2007)
Issue (Month): 1 (January)
Contact details of provider:
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (SAGE Publications).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.