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A European Net Wealth Tax

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  • Alexander Krenek
  • Margit Schratzenstaller

Abstract

The increase of wealth inequality in many EU countries has spurred interest in wealth taxation. While taxes on wealth for a long time have played only a marginal role in the public finance and taxation literature, more recently a variety of arguments are brought forward in favour of (higher) wealth taxation. At the same time, tax competition has led to an almost complete disappearance of recurrent net wealth taxes in Europe. By dealing with non- and under-reporting in the Household and Consumption Survey (HFCS) data set provided by the European Central Bank, we are able to estimate the wealth distribution within 20 EU countries and the revenue potential of a progressive EU-wide net wealth tax.

Suggested Citation

  • Alexander Krenek & Margit Schratzenstaller, 2018. "A European Net Wealth Tax," WIFO Working Papers 561, WIFO.
    • Handle: RePEc:wfo:wpaper:y:2018:i:561
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    Cited by:

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    2. Atanas Pekanov & Margit Schratzenstaller, 2019. "A Global Financial Transaction Tax. Theory, Practice and Potential Revenues," WIFO Working Papers 582, WIFO.
    3. Thor O Thoresen & Marius A K Ring & Odd E Nygård & Jon Epland, 2022. "A Wealth Tax at Work [Behavioural Responses to a Wealth Tax]," CESifo Economic Studies, CESifo Group, vol. 68(4), pages 321-361.
    4. Tippet, Benjamin & Wildauer, Rafael & Onaran, Özlem, 2021. "The case for a progressive annual wealth tax in the UK," Greenwich Papers in Political Economy 33819, University of Greenwich, Greenwich Political Economy Research Centre.
    5. Kapeller, Jakob & Leitch, Stuart & Wildauer, Rafael, 2023. "Can a European wealth tax close the green investment gap?," Ecological Economics, Elsevier, vol. 209(C).
    6. Apostel, Arthur & O'Neill, Daniel W., 2022. "A one-off wealth tax for Belgium: Revenue potential, distributional impact, and environmental effects," Ecological Economics, Elsevier, vol. 196(C).
    7. Margit Schratzenstaller, 2017. "The Next Multiannual Financial Framework (MFF), its Structure and the Own Resources," WIFO Studies, WIFO, number 60722, February.

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    Keywords

    F55; H24; H87;
    All these keywords.

    JEL classification:

    • F55 - International Economics - - International Relations, National Security, and International Political Economy - - - International Institutional Arrangements
    • H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies
    • H87 - Public Economics - - Miscellaneous Issues - - - International Fiscal Issues; International Public Goods

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