Taxing Windfall Profits in the Energy Sector /

The surge in fossil fuel prices in 2022 has generated substantial windfall profits in the energy sector. Policymakers in many countries are exploring policies to tax part of these profits. Excess profits can be taxed by tax instruments targeted at economic rents that avoid discouraging investment an...

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التفاصيل البيبلوغرافية
المؤلف الرئيسي: Baunsgaard, Thomas
مؤلفون آخرون: Vernon, Nate
التنسيق: دورية
اللغة:English
منشور في: Washington, D.C. : International Monetary Fund, 2022.
سلاسل:IMF Notes; IMF Notes ; No 2022/002
الموضوعات:
الوصول للمادة أونلاين:Full text available on IMF
الوصف
الملخص:The surge in fossil fuel prices in 2022 has generated substantial windfall profits in the energy sector. Policymakers in many countries are exploring policies to tax part of these profits. Excess profits can be taxed by tax instruments targeted at economic rents that avoid discouraging investment and limit any impact on further price increases. Many fossil fuel producing countries already have an adequate rent-capturing fiscal instrument in place. Others may consider introducing a permanent tax on windfall profits from fossil fuel extraction but should be more cautious about temporary and possibly poorly designed windfall profit taxes. Given the importance of encouraging decarbonatization of energy generation, it seems counter-intuitive to introduce exceptional tax measures on renewable electricity generation.
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وصف مادي:1 online resource (19 pages)
التنسيق:Mode of access: Internet
تدمد:2957-4390
وصول:Electronic access restricted to authorized BRAC University faculty, staff and students