A NOTE ON THE NONNEUTRAL TAXATION OF INDEXED GOVERNMENT BONDS UNDER ALTERNATIVE INDEXATION SCHEMES

Authors
ZEE HH
Citation
Hh. Zee, A NOTE ON THE NONNEUTRAL TAXATION OF INDEXED GOVERNMENT BONDS UNDER ALTERNATIVE INDEXATION SCHEMES, Economics letters, 56(1), 1997, pp. 71-75
Citations number
7
Categorie Soggetti
Economics
Journal title
Economics letters → ACNP
ISSN journal
01651765
Volume
56
Issue
1
Year of publication
1997
Pages
71 - 75
Database
ISI
SICI code
0165-1765(1997)56:1<71:ANOTNT>2.0.ZU;2-9
Abstract
This paper shows the nonneutrality of taxing income from indexed bonds , even if the tax is proportional, between the principal indexation an d coupon rate indexation schemes, when the inflation compensation for principal erosion is taxed on an accrual basis under the former scheme . (C) 1997 Elsevier Science S.A.