Abstract: This paper analyses the impacts of indirect tax policy reforms on income distribution and poverty in Tanzania by applying a standard static microsimulation model TAZMOD v1.8. The simulations model two indirect tax reforms involving changes to the excise duty and value-added tax rates on alcoholic beverages and tobacco products, and changes to employers’ and employees’ contributions to the National Health Insurance Fund. The results of the first reform find a positive effect on government tax revenue and a neutral effect on income distribution and poverty. The results of the second reform find a positive effect on household income distribution and consumption. The findings show that, despite increasing unequal income distribution, poverty indicators fell.
Keywords: income distribution, poverty, tax-benefit reforms, microsimulation
Maskaeva, A (2021). Microsimulation Analysis Of The Impact Of Indirect Tax Benefits On Income Distribution And Poverty Alleviation In Tanzania. Afribary. Retrieved from https://afribary.com/works/microsimulation-analysis-of-the-impact-of-indirect-tax-benefits-on-income-distribution-and-poverty-alleviation-in-tanzania
Maskaeva, Asiya "Microsimulation Analysis Of The Impact Of Indirect Tax Benefits On Income Distribution And Poverty Alleviation In Tanzania" Afribary. Afribary, 26 Apr. 2021, https://afribary.com/works/microsimulation-analysis-of-the-impact-of-indirect-tax-benefits-on-income-distribution-and-poverty-alleviation-in-tanzania. Accessed 16 May. 2024.
Maskaeva, Asiya . "Microsimulation Analysis Of The Impact Of Indirect Tax Benefits On Income Distribution And Poverty Alleviation In Tanzania". Afribary, Afribary, 26 Apr. 2021. Web. 16 May. 2024. < https://afribary.com/works/microsimulation-analysis-of-the-impact-of-indirect-tax-benefits-on-income-distribution-and-poverty-alleviation-in-tanzania >.
Maskaeva, Asiya . "Microsimulation Analysis Of The Impact Of Indirect Tax Benefits On Income Distribution And Poverty Alleviation In Tanzania" Afribary (2021). Accessed May 16, 2024. https://afribary.com/works/microsimulation-analysis-of-the-impact-of-indirect-tax-benefits-on-income-distribution-and-poverty-alleviation-in-tanzania