Efficient timing of income taxes

Geoffrey H. Kingston

doi:10.1016/0047-2727(84)90030-6

Efficient timing of income taxes

Geoffrey H. Kingston^*

^*Corresponding author for this work

Research output: Contribution to journal › Article › peer-review

9 Citations (Scopus)

Abstract

The marginal collection cost of an income tax is predicted to be a martingale, and the marginal income tax rate is predicted to be a supermartingale. Collection costs can be estimated from tax rates. Almost all tests based on a U.S. series of actual marginal income tax rates, 1913-1975, accept the hypothesis of random-walk behavior in collection costs, and reject the parallel hypothesis on tax rates.

Original language	English
Pages (from-to)	271-280
Number of pages	10
Journal	Journal of Public Economics
Volume	24
Issue number	2
DOIs	https://doi.org/10.1016/0047-2727(84)90030-6
Publication status	Published - 1984
Externally published	Yes

Access to Document

10.1016/0047-2727(84)90030-6

Cite this

@article{0af67dc8d1d54b57bbeefeb453e7f646,

title = "Efficient timing of income taxes",

abstract = "The marginal collection cost of an income tax is predicted to be a martingale, and the marginal income tax rate is predicted to be a supermartingale. Collection costs can be estimated from tax rates. Almost all tests based on a U.S. series of actual marginal income tax rates, 1913-1975, accept the hypothesis of random-walk behavior in collection costs, and reject the parallel hypothesis on tax rates.",

author = "Kingston, {Geoffrey H.}",

year = "1984",

doi = "10.1016/0047-2727(84)90030-6",

language = "English",

volume = "24",

pages = "271--280",

journal = "Journal of Public Economics",

issn = "0047-2727",

publisher = "Elsevier",

number = "2",

}

TY - JOUR

T1 - Efficient timing of income taxes

AU - Kingston, Geoffrey H.

PY - 1984

Y1 - 1984

N2 - The marginal collection cost of an income tax is predicted to be a martingale, and the marginal income tax rate is predicted to be a supermartingale. Collection costs can be estimated from tax rates. Almost all tests based on a U.S. series of actual marginal income tax rates, 1913-1975, accept the hypothesis of random-walk behavior in collection costs, and reject the parallel hypothesis on tax rates.

AB - The marginal collection cost of an income tax is predicted to be a martingale, and the marginal income tax rate is predicted to be a supermartingale. Collection costs can be estimated from tax rates. Almost all tests based on a U.S. series of actual marginal income tax rates, 1913-1975, accept the hypothesis of random-walk behavior in collection costs, and reject the parallel hypothesis on tax rates.

UR - http://www.scopus.com/inward/record.url?scp=0040389025&partnerID=8YFLogxK

U2 - 10.1016/0047-2727(84)90030-6

DO - 10.1016/0047-2727(84)90030-6

M3 - Article

AN - SCOPUS:0040389025

SN - 0047-2727

VL - 24

SP - 271

EP - 280

JO - Journal of Public Economics

JF - Journal of Public Economics

IS - 2

ER -

Efficient timing of income taxes

Abstract

Access to Document

Other files and links

Fingerprint

Cite this