This is a novel idea, at least, new to me:
Over the last 10 years, Slovakia’s revenue from value-added taxes, a type of sales tax, has declined. But hiring auditors and pursuing individual merchants and service providers in court is expensive and slow. So last fall, the government decided to put a lottery in the mix.The idea is to enlist average citizens to collect receipts from their purchases and register them with the government, creating a paper trail for transactions and forcing restaurant and shop owners to pay the sales taxes they owe. As Slovakians register their receipts for the lottery, a computer will also tell them if a merchant has issued a receipt with a fake tax identification number, so they can report suspected fraud.
For any purchase worth more than 1 euro, or about $1.38, Slovakians can enter their receipts in a monthly lottery to win €10,000, a car or a chance to be a contestant on the Slovakian version of “The Price Is Right.”
As we well know, third party reporting is an excellent way to induce honesty in taxpayers. Winning a lottery is a long shot but its very existence promotes a certain culture to develop around the reporting of taxable sales. And the winners make for good tv.Tax officials say the lottery is already having a big impact, and other European countries that are also struggling with the collection of value-added taxes have considered it — including Portugal, which started its own tax lottery on Thursday. In Slovakia, about 450,000 people have taken part, registering about 60 million receipts, officials said.
Tagged as: tax culture tax policy
Are multinational companies a public good? If not, why are taxpayers subsidizing their global marketing strategies?
The story is that the Canadian government recently set up food trucks in Mexico in order to promote "Canadian cuisine," which the National Post pictures as follows:
|Above: poutine. Below: tourtière, both from Quebec.|
(the article says only QC has any sort of cultural food identity. Sorry BC!)
|Don't judge this book by its cover.|
Tagged as: Canada culture globalization MNCs tax policy
Tagged as: culture international law scholarship
Tagged as: international law scholarship
Film money is the hottest of hot investment money, fast in and fast out. Production is very mobile, and studios have become adept at extracting subsidies from governments for a few trinkets and promises of jobs.
- a highly educated workforce
- that can't organize or demand high wages
- a well organized legal system that protects contracts and property rights
- but only (or mainly) of multinationals
- a well-organized financial system that protects the investment from currency/inflationary etc pressures
- but only if multinationals don't have to support it with taxes
in the US ... state and local subsidies rocketed from US$2m in 2003 to about US$1.5b in 2012. Film subsidies are epidemic in Europe, where countries compete to attract and retain productions. And it has been a major part of New Zealand's cultural and industrial policy, where more than US$400m has been invested in The Lord of the Rings, Avatar and a handful of other productions over the past decade.
But competitive subsidies are the quintessential sucker's game, in which winning is losing.
For keeping Warner Bros happy, Prime Minister John Key - a former Merrill Lynch currency trader - got a replica magic Hobbit sword from President Obama...
Tagged as: austerity culture exports film tax incentives lobbying
Tagged as: tax culture tax policy
Tagged as: economics tax culture tax policy
I'd like to welcome Adam Rosenzweig, Wash. U. Professor of Law, as a new contributor to the Tax, Society & Culture blog. We don't always agree on everything tax, society, or culture, but I always enjoy his perspective and look forward to his participation here.
Tagged as: untagged