IDEAS home Printed from https://ideas.repec.org/p/ays/ispwps/paper0432.html
   My bibliography  Save this paper

Taxing Consumption in Jamaica:The GCT and the SCT

Author

Listed:
  • Kelly D. Edmiston
  • Richard M. Bird

Abstract

The GCT and SCT are critically important revenue sources in Jamaica, accounting for 37.4 percent of total revenues in fiscal year 2003/04 (27.7 percent for GCT alone) and an estimated 11.2 percent of GDP (8.3 percent for GCT alone). In this paper we set out in some detail the present structure and administration of the GCT and SCT and evaluate the performance of these taxes from several angles – as revenue generators, with respect to their distributional effects, and in an international comparison. We end with recommendations for reform.

Suggested Citation

  • Kelly D. Edmiston & Richard M. Bird, 2004. "Taxing Consumption in Jamaica:The GCT and the SCT," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0432, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
    • Handle: RePEc:ays:ispwps:paper0432
    as

    Download full text from publisher

    File URL: http://icepp.gsu.edu/files/2015/03/ispwp0432.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Keen, Michael & Mintz, Jack, 2004. "The optimal threshold for a value-added tax," Journal of Public Economics, Elsevier, vol. 88(3-4), pages 559-576, March.
    2. Friedrich Schneider, 2003. "The Size and Development of the Shadow Economy around the World and Relation to the Hard-to-Tax," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0324, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
    3. Hans-Werner Sinn & Andrea Gebauer & Rüdiger Parsche, 2004. "The Ifo Institute’s Model for Reducing VAT Fraud: Payment First, Refund Later," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 5(02), pages 30-34, October.
    4. Alan J. Auerbach & Roger H. Gordon, 2002. "Taxation of Financial Services under a VAT," American Economic Review, American Economic Association, vol. 92(2), pages 411-416, May.
    5. Glenn P. Jenkins & Chun‐Yan Kuo & Keh‐Nan Sun, 2003. "Taxation and Economic Development in Taiwan," American Journal of Economics and Sociology, Wiley Blackwell, vol. 62(4), pages 734-735, October.
    6. Bird, Richard M., 1992. "Taxing tourism in developing countries," World Development, Elsevier, vol. 20(8), pages 1145-1158, August.
    7. Rodepeter, Ralf & Winter, Joachim, 1998. "Savings decisions under life-time and earnings uncertainty:," Sonderforschungsbereich 504 Publications 98-58, Sonderforschungsbereich 504, Universität Mannheim;Sonderforschungsbereich 504, University of Mannheim.
    8. Messere, Ken & de Kam, Flip & Heady, Christopher, 2003. "Tax Policy: Theory and Practice in OECD Countries," OUP Catalogue, Oxford University Press, number 9780199241484.
    9. Ms. Janet Gale Stotsky & Ms. Asegedech WoldeMariam, 2002. "Central American Tax Reform: Trends and Possibilities," IMF Working Papers 2002/227, International Monetary Fund.
    10. Agha, Ali & Haughton, Jonathan, 1996. "Designing VAT Systems: Some Efficiency Considerations," The Review of Economics and Statistics, MIT Press, vol. 78(2), pages 303-308, May.
    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. World Bank, 2012. "Jamaica : Poverty and Social Impacts of Fiscal Reforms," World Bank Publications - Reports 12755, The World Bank Group.
    2. Maria Kazakova & Alexandr Knobel & Ilya Sokolov, 2010. "Quality of VAT administration in OECD countries and Russia. Reform of the Russian system of tax collection," Research Paper Series, Gaidar Institute for Economic Policy, issue 134P.
    3. Kelly D. Edmiston & Richard M. Bird, 2007. "Taxing Consumption in Jamaica," Public Finance Review, , vol. 35(1), pages 26-56, January.
    4. Alexander Knobel & Sergey Sinelnikov-Murylev & Ilya Sokolov, 2013. "Quality of the Administration of Value-Added Tax in OECD countries and Russia," Working Papers 0050, Gaidar Institute for Economic Policy, revised 2013.
    5. Dillon Alleyne, 2007. "The Evolution of Jamaica’s Tax Burden," Public Finance Review, , vol. 35(1), pages 150-171, January.
    6. Bird, Richard M. & Zolt, Eric M., 2005. "The limited role of the personal income tax in developing countries," Journal of Asian Economics, Elsevier, vol. 16(6), pages 928-946, December.
    7. Dillon Alleyne & James Alm & Roy Bahl & Sally Wallace, 2004. "Tax Burden in Jamaica," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0434, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.

    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. Keen, Michael & Smith, Stephen, 2006. "VAT Fraud and Evasion: What Do We Know and What Can Be Done?," National Tax Journal, National Tax Association;National Tax Journal, vol. 59(4), pages 861-887, December.
    2. Silvia Fedeli & Francesco Forte, 2011. "EU VAT frauds," European Journal of Law and Economics, Springer, vol. 31(2), pages 143-166, April.
    3. Kodjo Adandohoin, 2021. "Tax transition in developing countries: do value added tax and excises really work?," International Economics and Economic Policy, Springer, vol. 18(2), pages 379-424, May.
    4. MAIMOUNA DIAKITE & Jean-François BRUN, 2016. "Tax Potential and Tax Effort: An Empirical Estimation for Non-Resource Tax Revenue and VAT’s Revenue," EcoMod2016 9537, EcoMod.
    5. Richard M. Bird & Jorge Martinez-Vazquez & Benno Torgler, 2014. "Societal Institutions and Tax Effort in Developing Countries," Annals of Economics and Finance, Society for AEF, vol. 15(1), pages 301-351, May.
    6. Glenn Jenkins & CHUN-YAN KUO & Andrey Klevchuk, 2007. "Diagnosis of Indirect Taxes and the Taxation of International Trade in the Dominican Republic," Development Discussion Papers 2007-01, JDI Executive Programs.
    7. Lourenço S. Paz, 2015. "The welfare impacts of a revenue-neutral switch from tariffs to VAT with intermediate inputs and a VAT threshold," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 24(4), pages 465-498, June.
    8. Antonio Gómez Gómez-Plana & Pedro Pascual Arzoz, 2011. "Fraude fiscal e IVA en España: incidencia en un modelo de equilibrio general," Hacienda Pública Española / Review of Public Economics, IEF, vol. 199(4), pages 9-52, December.
    9. Peter Dungan & Jack Mintz & Finn Poschmann & Thomas Wilson, 2008. "Growth Oriented Sales Tax Reform for Ontario: Replacing the Retail Sales Tax with a 7.5 Percent Value-Added Tax," C.D. Howe Institute Commentary, C.D. Howe Institute, issue 273, September.
    10. Kelly D. Edmiston & Richard M. Bird, 2007. "Taxing Consumption in Jamaica," Public Finance Review, , vol. 35(1), pages 26-56, January.
    11. Adandohoin, Kodjo, 2018. "Tax transition in developing countries: Do VAT and excises really work?," MPRA Paper 91522, University Library of Munich, Germany.
    12. Lovemore George Mwanandi, 2020. "Impact of Auditing on VAT Compliance: A case study of small VAT operators in Blantyre City of Malawi," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 4(11), pages 326-343, November.
    13. Iswahyudi, Heru, 2018. "Where has the money gone?: The case of Value Added Tax revenue performance in Indonesia," MPRA Paper 89876, University Library of Munich, Germany.
    14. Daniela MITRAN, 2017. "European Trends In Split Vat," Internal Auditing and Risk Management, Athenaeum University of Bucharest, vol. 48(4), pages 43-50, December.
    15. Juan Pineiro Chousa & Haider Ali Khan & Davit N. Melikyan & Artur Tamazian, 2005. "Institutional and Financial Determinants of Development: New Evidence from Advanced and Emerging Markets," CIRJE F-Series CIRJE-F-326, CIRJE, Faculty of Economics, University of Tokyo.
    16. Alexander Knobel & Sergey Sinelnikov-Murylev & Ilya Sokolov, 2013. "Quality of the Administration of Value-Added Tax in OECD countries and Russia," Working Papers 0050, Gaidar Institute for Economic Policy, revised 2013.
    17. Glenn P. Jenkins & Chun-Yan Kuo, 2019. "Taxing mobile capital in free trade zones to the detriment of workers," Asia-Pacific Journal of Accounting & Economics, Taylor & Francis Journals, vol. 26(3), pages 207-222, May.
    18. Liu, Li & Lockwood, Ben & Tam. Eddy, 2022. "Small Firm Growth and the VAT Threshold : Evidence for the UK," The Warwick Economics Research Paper Series (TWERPS) 1418, University of Warwick, Department of Economics.
    19. Kaplanoglou, Georgia & Newbery, David Michael, 2003. "Indirect Taxation in Greece: Evaluation and Possible Reform," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 10(5), pages 511-533, September.
    20. Casey Mulligan, 2015. "Fiscal policies and the prices of labor: a comparison of the U.K. and U.S," IZA Journal of Labor Policy, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 4(1), pages 1-27, December.

    More about this item

    Keywords

    Jamaica; Taxing Consumption; GCT; SCT;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:ays:ispwps:paper0432. 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: Paul Benson (email available below). General contact details of provider: https://edirc.repec.org/data/ispgsus.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.