Jiri Kostohryz
Ph.D. Student, University of Economics, Prague, Czech Republic.Tax Measures Taken to Fight the Crisis – Developed
Countries Overview, Concrete Measures in the
Czech Republic
The paper describes the importance and reasons of tax measures
taken to fight the crisis. At the beginning there is the comparison of tax
policy measures in the context of other measures taken to fight the
crisis. Attention is paid to the comparison of fiscal measures in the EU
member states and OECD countries. Next are presented the basic types
of tax measures taken to fight the crisis (Corporate income tax rate
reductions, Accelerated depreciation, Loss carryforward and carryback
provisions, R&D credit enhancements, Indirect tax activity, Personal
income tax measures).
The specific tax measures implemented in the Czech Republic are
described in detail. The Czech anti-crisis measures are focused on
lowering taxes more than on government expenditures increasing. In
2009 we can see a tendency to lowering taxes in the Czech Republic. On
the other hand the emphasis on fiscal function of taxes begins to prevail
in 2010.
The paper also presents two currently discussed tax theory
concepts related to the prevention of potential crises in the future,
namely, financial transaction tax and the concepts of tax neutrality due
to the method of financing.
The article was created as a part of the project F1/30/2010 ‘Effect of
tax and expenditure instruments on the microeconomic and
macroeconomic efficiency.’