The Optimal Turnover Threshold and Tax Rate for SMEs /

Presumptive income taxes in the form of a tax on turnover for SMEs are pervasive as a way to reduce the costs of compliance and administration. We analyze a model where entrepreneurs allocate labor to the formal and informal sectors. Formal sector income is subjected either to a corporate income tax...

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Bibliographic Details
Main Author: Wei, Feng
Other Authors: Wen, Jean-Francois
Format: Journal
Language:English
Published: Washington, D.C. : International Monetary Fund, 2019.
Series:IMF Working Papers; Working Paper ; No. 2019/098
Online Access:Full text available on IMF