IDEAS home Printed from https://ideas.repec.org/h/pal/palchp/978-1-137-53017-2_4.html
   My bibliography  Save this book chapter

The Shortcomings of the Texas Margin Tax

In: Ten-Gallon Economy

Author

Listed:
  • Alan D. Viard

Abstract

Under the Texas margin tax, firms are taxed on their gross receipts, without a full deduction for business expenses. The margin tax is similar to a turnover tax, which tax economists have long condemned as inefficient because it imposes uneven tax burdens on labor used at different stages of the production chain and creates artificial incentives for firms to merge with each other. Although the margin tax diverges from a simple turnover tax in several respects, the modifications generally do not make the tax more efficient. Indeed, some of the modifications may actually magnify the inefficiencies.

Suggested Citation

  • Alan D. Viard, 2015. "The Shortcomings of the Texas Margin Tax," Palgrave Macmillan Books, in: Pia M. Orrenius & Jesús Cañas & Michael Weiss (ed.), Ten-Gallon Economy, chapter 4, pages 47-58, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-137-53017-2_4
    DOI: 10.1057/9781137530172_4
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:palchp:978-1-137-53017-2_4. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.palgrave.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.