IDEAS home Printed from https://ideas.repec.org/a/erc/cypepr/v7y2013i1p87-114.html

Tax Reform in the Cypriot Road Transport Sector

Author

Listed:
  • Adamos Adamou

    (Department of Economics, University of Cyprus)

  • Sofronis Clerides

    (Department of Economics, University of Cyprus)

Abstract

The road transport sector contributes a significant fraction of government tax revenue in many countries, including Cyprus. Most revenue comes from excise taxes on vehicles and fuel and from road (circulation) tax. There is currently a need to modernize the tax system in order to provide a steady stream of revenue and to abide by environmental taxation principles increasingly being applied in Europe and elsewhere. We discuss the theoretical justification for transport sector taxation and the shortcomings of the current system and propose reforms aimed at achieving the twin goals of revenue stability and pollution reduction with minimal market distortion.

Suggested Citation

  • Adamos Adamou & Sofronis Clerides, 2013. "Tax Reform in the Cypriot Road Transport Sector," Cyprus Economic Policy Review, University of Cyprus, Economics Research Centre, vol. 7(1), pages 87-114, June.
    • Handle: RePEc:erc:cypepr:v:7:y:2013:i:1:p:87-114
    as

    Download full text from publisher

    File URL: https://www.ucy.ac.cy/erc/documents/Adamou_Clerides_87-114.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Adamos Adamou & Sofronis Clerides & Theodoros Zachariadis, 2012. "Trade-offs in CO2-Oriented Vehicle Tax Reforms: A Case Study of Greece," Working Paper series 33_12, Rimini Centre for Economic Analysis.
    2. Tryfonas Christodoulou & Sofronis Clerides, 2012. "Emissions-Based Vehicle Tax Reform for Cyprus: A Simulation Analysis," Cyprus Economic Policy Review, University of Cyprus, Economics Research Centre, vol. 6(1), pages 3-20, June.
    3. Ian W. H. Parry & Margaret Walls & Winston Harrington, 2007. "Automobile Externalities and Policies," Journal of Economic Literature, American Economic Association, vol. 45(2), pages 373-399, June.
    4. Luc Bastard, 2010. "The Impact of Economic Instruments on the Auto Industry and the Consequences of Fragmenting Markets: Focus on the EU Case," OECD/ITF Joint Transport Research Centre Discussion Papers 2010/8, OECD Publishing.
    5. Adamos Adamou & Sofronis Clerides & Theodoros Zachariadis, 2012. "Assessment of CO2-Oriented Vehicle Tax Reforms: A Case Study of Greece," University of Cyprus Working Papers in Economics 04-2012, University of Cyprus Department of Economics.
    6. Rogan, Fionn & Dennehy, Emer & Daly, Hannah & Howley, Martin & Ó Gallachóir, Brian P., 2011. "Impacts of an emission based private car taxation policy - First year ex-post analysis," Transportation Research Part A: Policy and Practice, Elsevier, vol. 45(7), pages 583-597, August.
    7. Besley, Timothy J. & Rosen, Harvey S., 1999. "Sales Taxes and Prices: An Empirical Analysis," National Tax Journal, National Tax Association;National Tax Journal, vol. 52(2), pages 157-178, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Adamos Adamou & Sofronis Clerides, 2021. "The evolution of car ownership in Cyprus," Cyprus Economic Policy Review, University of Cyprus, Economics Research Centre, vol. 15(1), pages 1-15, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tryfonas Christodoulou & Sofronis Clerides, 2012. "Emissions-Based Vehicle Tax Reform for Cyprus: A Simulation Analysis," Cyprus Economic Policy Review, University of Cyprus, Economics Research Centre, vol. 6(1), pages 3-20, June.
    2. Malina, Christiane, 2016. "The environmental impact of vehicle circulation tax reform in Germany," CAWM Discussion Papers 86, University of Münster, Münster Center for Economic Policy (MEP).
    3. Pierre Dubois & Rachel Griffith & Martin O'Connell, 2020. "How Well Targeted Are Soda Taxes?," American Economic Review, American Economic Association, vol. 110(11), pages 3661-3704, November.
    4. Haan, Peter & Simmler, Martin, 2018. "Wind electricity subsidies — A windfall for landowners? Evidence from a feed-in tariff in Germany," Journal of Public Economics, Elsevier, vol. 159(C), pages 16-32.
    5. Snir, Avichai & Levy, Daniel, 2021. "If You Think 9-Ending Prices Are Low, Think Again," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 6(1 (Forthc).
    6. Kazuki Onji, 2009. "A tale of pork prices : evasion and attenuation of a Japanese tariff," Trade Working Papers 22883, East Asian Bureau of Economic Research.
    7. John Cawley & Chelsea Crain & David Frisvold & David Jones, 2018. "The Pass-Through of the Largest Tax on Sugar-Sweetened Beverages: The Case of Boulder, Colorado," NBER Working Papers 25050, National Bureau of Economic Research, Inc.
    8. Frank A. Sloan & Justin G. Trogdon, 2004. "Litigation and the Political Clout of the Tobacco Companies: Cigarette Taxes, Prices, and the Master Settlement Agreement," School of Economics and Public Policy Working Papers 2004-04, University of Adelaide, School of Economics and Public Policy.
    9. Alan G. Futerman & Luciano Villegas, 2022. "An Austrian critique of the neoclassical approach to indirect taxes," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 35(4), pages 517-529, December.
    10. Francesca Parodi, 2024. "Consumption Tax Cuts In A Recession," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 65(1), pages 117-148, February.
    11. Rachel Griffith & Lars Nesheim & Martin O'Connell, 2018. "Income effects and the welfare consequences of tax in differentiated product oligopoly," Quantitative Economics, Econometric Society, vol. 9(1), pages 305-341, March.
    12. Franz W. Wagner & Stefan Weber, 2016. "Wird die Umsatzsteuer überwälzt? [Do Firms Pass on VAT?]," Schmalenbach Journal of Business Research, Springer, vol. 68(4), pages 401-421, December.
    13. Kadner-Graziano, Alessandro S., 2023. "Mergers of Complements: On the Absence of Consumer Benefits," International Journal of Industrial Organization, Elsevier, vol. 89(C).
    14. Perrels, Adriaan & Tuovinen, Tarja, 2012. "The Effectiveness of Differentiation of the Finnish Car Purchase Tax according to Carbon Dioxide Emission Performance," Research Reports 168, VATT Institute for Economic Research.
    15. Wagner, Franz W. & Weber, Stefan & Gegenwarth, Lisa, 2014. "Wird die Umsatzsteuer überwälzt? Eine empirische Studie der Preispolitik im deutschen Hotelgewerbe," arqus Discussion Papers in Quantitative Tax Research 179, arqus - Arbeitskreis Quantitative Steuerlehre.
    16. Clément Carbonnier, 2005. "Is Tax Shifting Asymmetric? Evidence from French VAT reforms, 1995-2000," PSE Working Papers halshs-00590719, HAL.
    17. Fullerton, Don & Metcalf, Gilbert E., 2002. "Tax incidence," Handbook of Public Economics, in: A. J. Auerbach & M. Feldstein (ed.), Handbook of Public Economics, edition 1, volume 4, chapter 26, pages 1787-1872, Elsevier.
    18. Casey B. Mulligan, 2002. "Capital Tax Incidence: First Impressions from the Time Series," NBER Working Papers 9374, National Bureau of Economic Research, Inc.
    19. Libor Dušek & Petr Janský, 2012. "Dopady změn daně z přidané hodnoty na reálné příjmy domácností [The Impact of VAT Changes on the Households´ Real Incomes]," Politická ekonomie, Prague University of Economics and Business, vol. 2012(3), pages 309-329.
    20. Adamos Adamou & Sofronis Clerides & Theodoros Zachariadis, 2012. "Assessment of CO2-Oriented Vehicle Tax Reforms: A Case Study of Greece," University of Cyprus Working Papers in Economics 04-2012, University of Cyprus Department of Economics.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    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:erc:cypepr:v:7:y:2013:i:1:p:87-114. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc 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 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: Vasiliki Bozani (email available below). General contact details of provider: https://edirc.repec.org/data/erucycy.html .

    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.