The Norwegian Shareholder Tax Reconsidered
In an article in International Tax and Public Finance, Peter Birch Sørensen (2005) gives an in-depth account of the new Norwegian Shareholder Tax, which allows the shareholders a deduction for an imputed risk-free rate of return. Sørensen’s positive evaluation appears as reasonable for a closed economy where the deduction for the imputed return is capitalized into the market prices of corporate shares. We show that in a small open economy where no capitalization occurs, the Norwegian shareholder tax is likely to leave the distortions caused by the corporate income tax unaffected, and to add new distortions to shareholders’ portfolio decisions.
|Date of creation:||25 May 2010|
|Date of revision:|
|Publication status:||Forthcoming as Södersten, Jan and Tobias Lindhe, 'The Norwegian Shareholder Tax Reconsidered' in Forthcoming in International Tax and Public Finance.|
|Contact details of provider:|| Postal: Department of Economics, Uppsala University, P. O. Box 513, SE-751 20 Uppsala, Sweden|
Phone: + 46 18 471 25 00
Fax: + 46 18 471 14 78
Web page: http://www.nek.uu.se/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Alan Auerbach & David Bradford, 2001.
"Generalized Cash Flow Taxation,"
CESifo Working Paper Series
425, CESifo Group Munich.
- Alan J. Auerbach & David F. Bradford, 2001. "Generalized Cash Flow Taxation," Working Papers 131, Princeton University, Department of Economics, Center for Economic Policy Studies..
- Alan A. Auerbach & David F. Bradford, 2001. "Generalized Cash Flow Taxation," NBER Working Papers 8122, National Bureau of Economic Research, Inc.
- Stephen Bond & Alexander Klemm & Michael B. Devereux, 2007.
"The Effects of Dividend Taxes on Equity Prices; A Re-examination of the 1997 U.K. Tax Reform,"
IMF Working Papers
07/204, International Monetary Fund.
- Stephen R Bond & Michael P Devereux & Alexander Klemm, 2007. "The Effects of Dividend Taxes on Equity Prices: A Re-examination of the 1997 UK Tax Reform," Working Papers 0701, Oxford University Centre for Business Taxation.
- Alan J. Auerbach, 1988.
"Retrospective Capital Gains Taxation,"
NBER Working Papers
2792, National Bureau of Economic Research, Inc.
- Paul A. Samuelson, 1964. "Tax Deductibility of Economic Depreciation to Insure Invariant Valuations," Journal of Political Economy, University of Chicago Press, vol. 72, pages 604.
- Robin Boadway & Neil Bruce, 1988.
"Problems with Integrating Corporate and Personal Income Taxes in an Open Economy,"
735, Queen's University, Department of Economics.
- Boadway, Robin & Bruce, Neil, 1992. "Problems with integrating corporate and personal income taxes in an open economy," Journal of Public Economics, Elsevier, vol. 48(1), pages 39-66, June.
- Mikael Apel & Jan Södersten, 1999. "Personal Taxation and Investment Incentives in a Small Open Economy," International Tax and Public Finance, Springer, vol. 6(1), pages 79-88, February.
When requesting a correction, please mention this item's handle: RePEc:hhs:uufswp:2010_004. See general 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: (Katarina Grönvall)
If references are entirely missing, you can add them using this form.