It starts from the observed distribution of income before and after redistribution and corresponding marginal tax rates. Under a set of simplifying assumptions, it is then possible to recover the social welfare function that would make the observed marginal tax rate schedule optimal. In this ...
If you’re a married high-earner, it may make sense for your lower-earning and more lightly-taxed spouse to own certain assets and book the returns. Make the best of your family’s variouspersonal allowances, but maybe take advice if you feel you’re contemplating anything unusual. Consider...
Money at rest has only artistic value. Capital gains are only gained when they are realised. Taxes on income breed an entire industry devoted to concealing income, or divesting it in ways still profitable to that earner/taxpayer. In modern Western economies very few transactions do not pass thr...
If you’re a high-income earner, munis are for you, says Jim Barnes, Director of Fixed Income at Bryn Mawr Trust. “The primary way to determine whether muni bonds are a good or bad investment for an investor boils down to the investor’s marginal tax rate. A high marginal tax r...