Taxing High-Income Earners: Tax Avoidance and Mobility
IEB Working Paper N. 2017/06
32 Pages Posted: 10 Mar 2017 Last revised: 11 Nov 2017
Date Written: March 10, 2017
The taxation of high-income earners is of importance to every country and is the subject of a considerable amount of recent academic research. Such high-income earners contribute substantial amounts of tax and generate significant positive spillovers, but are also highly mobile: a 1% increase in the top marginal income tax rate increases out-migrations by around 1.5 to 3%. We review research into taxation of high-income earners to provide a synthesis of existing theoretical and empirical understanding. We offer various avenues for potential future theoretical and empirical research.
Keywords: High-income earners, mobility, tax avoidance
JEL Classification: H26, H31, K34, K42
Suggested Citation: Suggested Citation