The Price Elasticity of the Demand on Selected Types of Commodities and Its Influence on the Value Added Tax Collection

Taxes are on one side the burden of both companies and individuals, so called tax payers, while on the other hand are also important source for every public budget. This article is focused on analysis of price elasticity of selected commodities, or more precisely, on the analysis where the opinions of the respondents of the questionnaire on the price changes of selected commodities are to find. Analyzed issue is part of broader context which is solved within the project of specific research of team from Department of Economics, University of Hradec Králové. The aim of this project is to identify the key factors of tax incidence and their scope according the different groups of inhabitants. The main aim of this particular article is to verify the basic hypothesis that the decrease of VAT rates will eventually lead into the increase of VAT collection, and vice versa. However, the results of obtained questionnaires show that this hypothesis has to be denied. More information can be found within the text of this article.