Capital levy
A capital levy is a tax on capital rather than income, collected once, rather than repeatedly (regular collection would make it a wealth tax). For example, a capital levy of 30% will see an individual or business with a net worth of $100,000 pay a one-off sum of $30,000, regardless of income. Capital levies are considered difficult for a government to implement.[citation needed]
Some economists argue that capital levies are a disincentive to savings and investment, and cause
Examples of capital levies
Ancient democracies
In
20th century
During both World Wars,
a fundamental objection to the government's policy of conscription is that it conscripts human life only, and that it does not attempt to conscript wealth...
— Liberal party election platform, autumn 1917, Canada
21st century
The
In 1999,
The
A February 2014 report by Reuters showed the idea had gained traction in the European Commission, which will ask its insurance watchdog later that year for advice on a possible draft law "to mobilize more personal pension savings for long-term financing".[14]
In the United Kingdom, a report published by the Wealth Tax Commission in December 2020 recommended the introduction of a one-off wealth tax in case the government chooses to raise taxes in order to address the challenges for public finances posed by the COVID-19 recession.[15][16] Without taking a stance on specific exemption thresholds or tax rates, the estimations presented in the report imply that a well-designed 5% one-off tax on individual net wealth above £500,000 could raise as much as £260 billion.[17][18] The recommendations set out in the report were subsequently discussed in the Treasury Select Committee.[19] The chair of the committee, Mel Stride, suggested that the proposal of a one-off wealth tax is “probably nearer the end of the spectrum of the possible-stroke-question mark-desirable than an annual wealth tax.”[20]
See also
- Bank levy
- Wealth tax
References
- ^ Roberts, Jim (6 September 2015). "Ancient Greek Theatre: Choregos [χορηγός]". Ancient Greek Theatre.
- ^ a b Carmichael, Calum M. "Public munificence for private benefit: liturgies in classical Athens. - Free Online Library". www.thefreelibrary.com.
- S2CID 158330640.
- JSTOR 283983.
- ^ S2CID 16896826. Archived from the original(PDF) on 12 April 2019. Retrieved 5 November 2022.
- ^ "SCUSATE, MA ERAVAMO SUL BARATRO" (in Italian). la Repubblica. 1992-07-11. Retrieved 8 August 2015.
Così dice Giuliano Amato per spiegare il nuovo balzello: 6 mila lire di imposta ogni milione
- ^ "Trump proposes massive one-time tax on the rich". CNN. November 9, 1999.
- ^ Bensasson, Marcus; Georgios Georgiou (2013-07-30). "Cyprus Sets Levy on Bank of Cyprus Uninsured Depositors at 47.5%". Bloomberg. Retrieved 8 August 2015.
- ^ Conway, Edmund (2013-03-16). "The tragedy of Cyprus". Retrieved 8 August 2015.
- ^ IMFFiscal Monitor: "Taxing Times" Oct 2013, p.49
- ^ Opdyke, Jeff. "A Confiscation Tax is Headed Your Way". The Sovereign Investor. Archived from the original on 27 December 2013. Retrieved 27 December 2013.
- ^ Vasagar, Jeevan; Peter Spiegel (2014-01-27). "Bundesbank proposes wealth tax for EU states facing bankruptcy". Financial Times. Archived from the original on 2022-12-11. Retrieved 8 August 2015.
- ^ "Monatsbericht Januar: Anpassungen in den Peripherieländern schreiten voran" (in German). Deutsche Bundesbank. 2014-01-27. Retrieved 8 August 2015.
diskutiert der Monatsbericht die Vor- und Nachteile einer einmaligen Abgabe auf private Vermögen zur Reduktion der staatlichen Schuldenstände
- ^ "reuters.com: "Exclusive: EU executive sees personal savings used to plug long-term financing gap" (Jones) 12 Feb 2014". Reuters. 12 February 2014. Archived from the original on 30 September 2015. Retrieved 30 June 2017.
- . Retrieved March 10, 2021.
- ^ "'Tax the wealthy to pay for coronavirus'". BBC. 2020-12-09. Retrieved 2021-03-10.
- ^ Agyemang, Emma; Pickard, Jim (2020-12-09). "One-off 5% wealth tax would raise £262bn to cover Covid costs, study finds". Financial Times. Archived from the original on 2022-12-11. Retrieved 2021-03-10.
- ^ Partington, Richard (2020-12-09). "Economic cost of Covid crisis prompts call for one-off UK wealth tax". The Guardian. Retrieved 2021-03-10.
- ^ Tax after coronavirus (PDF) (Report). Treasury Select Committee. 2021. Retrieved March 10, 2021.
- ^ "One-off wealth tax might help fix COVID hit to UK budget: lawmaker". Reuters. 2021-02-15. Retrieved 2021-03-10.
Further reading
- The Capital Levy in Theory and Practice, Eichengreen, Barry The Capital Levy in Theory and Practice (September 1989). NBER Working Paper No. w3096.
- Capital Levies—A Step Towards Improving Public Finances in Europe, Bach, Stefan, 3 August 2012, DIW Berlin—Deutsches Institut für Wirtschaftsforschung