Income taxation and household size
Subtitle: would French family splitting make German families better off?
By: by Alexandre Baclet, Fabien Dell, Katharina Wrohlich.
Contributors: Dell, Fabien.
Series: Discussion paper ;; no. 1894; Discussion paper (Forschungsinstitut zur Zukunft der Arbeit : Online) ;; no. 1894
Publisher: IZA
Published: 2005
Place of publication: Bonn, Germany
Language: eng
Format: Electronic resource
Subjects: Income tax -- France; Income tax -- Germany; Family -- France; Family -- Germany
Description: "In this paper, we address the question whether family support via the income tax system is more generous in France than in Germany, as it is often claimed in the public debate. We use two micro-data sets and a micro-simulation model to compare effective average tax rates for different household types in France and Germany. Our analysis shows that the popular belief that French high income families with children face lower average tax rates than their German counterparts is true, however not due to the French Family splitting but rather to the different definitions of taxable incomes in both countries. Actually, low income families with less than three children even fare better in terms of tax relief in Germany than in France. The French system leads to lower average tax rates than the German one (over a large range of the income distribution) only for families with three children"--Forschungsinstitut zur Zukunft der Arbeit web site.
Notes: Includes bibliographical references.
Title from PDF file as viewed on 12/16/2005.
Also available in print.
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