Distributive impacts on households of the 2010 tax reform in Mexico Impactos distributivos sobre los hogares de la reforma fiscal 2010 en México Academic Article in Scopus uri icon

Abstract

  • The paper analyzes the impacts on income distribution and the progressivity of the tax reform of 2010 in Mexico, employing microsimulation models of income tax and VAT, and the results are compared with the state that kept the home under the tax scheme 2008. It notes that the tax scheme approved for 2010, considering both the structure of direct and indirect taxes, has a relative tendency to progressivity, which exceeds the 2008 scheme. However, it is clear that progressivity is mainly based on the structure of direct taxes (income tax) and indirect taxes (VAT and IEPS) were particularly regressive.

Publication date

  • November 28, 2013