Proper Taxation Policy for Enhanced Competitiveness: The Case of a Micro Economy

Year 2014, Volume: 18 Issue: 42, 13 - 28, 01.06.2014

Mustafa Besim

Abstract

This paper evaluates Turkish Cypriot taxation policies and structure using a comprehensive approach, with a view to identifying problems and recommending changes to the tax structure that will improve the competitiveness of the economy. The analysis both at the macro as well as micro level proves that there is a need for fundamental changes to the system. The primary data gathered by both households and businesses surveys about taxation clearly indicate that the perception of tax payers call for reforms in taxation policies. Based on the findings from the analysis and keeping the principles identified in the literature review, the study puts forward set of policy measures that can be practically implemented and that will increase the certainty and simplicity of the system for businesses. This paper also argues that proposed tax policy reforms will lead to significant improvement in growth, productivity and overall competitiveness of the economy

Keywords

Taxation, productivity, competitiveness

Rekabet Edebilirliği Artırmak için Uygun Vergi Politikaları: Mikro Ekonomi Örneği

Abstract

Bu çalışmada Kuzey Kıbrıs’ta uygulanan vergi politikaları ve yapısı rekabet edebilirlik açısından kapsamlı bir yaklaşım izlenerek değerlendirilmiş, sorunlar tespit edilerek çözüm önerileri bir bütünlük içerisinde sunulmuştur. Gerek makro, gerekse mikro temelli analiz yöntem sonuçları vergi sisteminde yapısal değişikliğe gidilmesi gerekliliğini göstermektedir. Hane halkı ve işletmelere yönelik gerçekleştirilen anketlerden elde edilen birincil veriler, ülkede vergi politikalarında reforma gidilmesi yönünde talebin yüksek olduğunu ortaya koymuştur. Yapılan tespitler ışığında, literatürden de yararlanılarak vergi sisteminin işletmeler ve bireyler için daha anlaşılır, basit ve çalışır kılacak pratikte kolay uygulanabilecek reform önerileri sunulmuştur. Çalışmada ayrıca, yapılan politika önerilerinin ekonomik büyüme, verimlilik ve ekonominin genel rekabet edebilirliğinin iyileşmesine de önemli derecede katkı sağlayacağı savunulmaktadır

Keywords

Vergi, verimlilik, rekabet edebilirlik

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