Club of Amsterdam blog: The world needs a new taxation paradigm ⇢

As taxation is both an administrative and a political issue of prime importance to all societies and their power-structures, are changes in modes of taxation both rare and slow. Income taxes, profit taxes and VAT dominate, and are so heavily entrenched in our societies so we hardly even notice how outdated this combination has become.

Even if the taxation is merely one of the systems that need to change because of the how the world is transforming, some important points are made in this document.

this document suggest taxation of inputs rather than outputs on the corporate level - coupled with a more incentive-driven ‘stakeholder-approach’ for wage-taxes - and a flat rate coupled with variable deductions, in favour of low income earners, on the individual side.

A key point is:

the tax system must include incentives for creating common good, not simply be developed and/or used as a collection tool for the Ministry of Finance

Source: clubofamsterdam.blogspot.com