1995 | OriginalPaper | Chapter
The Tax Environment
Author : Pandora Hancock
Published in: Current Issues in Financial Services
Publisher: Macmillan Education UK
Included in: Professional Book Archive
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Taxes are used by governments to raise funds for public expenditure. However, almost all taxes produce distortions in the economy of a country and affect the behaviour of its citizens. In fact governments often legislate in order to influence individuals’ behaviour, for instance by offering tax incentives to home buyers to encourage home ownership.