L’efficacité douteuse de la TVA en France et Pologne. Dépenses fiscales, le bouc émissaire ?
Undermined VAT performance in France and Poland. Are tax expenditures a scapegoat?

Author(s): Małgorzata Magdalena Hybka
Subject(s): Economy, Fiscal Politics / Budgeting
Published by: Wydawnictwo Uniwersytetu Ekonomicznego w Poznaniu
Keywords: collection efficiency;VAT;tax expenditures;France;Poland;
Summary/Abstract: In the European Union Member States taxes on consumption represent an important part of budgetary revenue. According to the statistical data collected by Eurostat, nearly 17,6% of this revenue (7,1% of GDP) comes from the value added tax. The efficiency of this tax varies from one country to the other and is influenced by the macroeconomic, institutional and legal factors. Among the latest there are regulations concerning the tax expenditures. Multiple economists argue that tax expenditures are one of the main factors undermining VAT performance in certain European Union Member States. In France and in Poland VAT is the most significant source of financing for the State, nevertheless VAT efficiency ratio in these two countries is below the European Union average. The objective of this article is to evaluate the effect of VAT expenditures on the VAT revenue in France and in Poland. The first part of this article provides a general overview of the definitions of VAT expenditures and the methods of their estimation. The second compares indicators used to evaluate VAT efficiency in France and in Poland. Finally the article concludes by offering an analysis of costs and the structure of tax expenditures in these countries.

• Details
• Contents