Abstract
The paper provides a bird's-eye view of the long and arduous task of reforming the federal individual income tax. As a starting point for reviewing the major reforms, the authors evaluate Secretary Simon's criteria that underlie his contention that the “tax system was badly in need of a thorough overhaul.” Principles that should guide tax reforms are spelled out. Conflicts that arise with the application of these principles are highlighted. An examination of reform efforts in light of the principles and criteria set in the Treasury Department's Blue Prints for Tax Reform forms the basis for evaluating reforms enacted over the period 1978–2001. The review suggests that we are partway towards achieving the tax man's dream of equity, efficiency, and simplicity.
“The task of comprehensive reform is monumental in its dimension and far reaching in itspotential impact on our economic well-being.”
[William E. Simon, 1977, p. 11]
This is a preview of subscription content, log in via an institution to check access.
Similar content being viewed by others
References
Auerbach, Alan J.; Slemrod, Joel. “The Economic Effects of the Tax Reform Act of 1986,”Journal of Economic Literature, June 1997, pp. 589–632.
Blum, W.; Kalvern, H. “The Uneasy Case for Progressive Taxation,”University of Chicago Law Review, Vol. 19, 1952, pp. 455–546.
Congressional Budget Office.Projecting Federal Tax Revenues and the Effect of Changes in Tax Law, Washington, D.C.: GPO, December, 1998.
——.The Economic Analysis of the Taxpayer Relief Act of 1997, Washington, D.C.: GPO, April, 2000.
——.Economic Growth and Tax Reconciliation Act of 2001, Washington, D.C.: GPO, May 17, 2001.
Hubbard, R. Glenn.Tax Notes 30th Anniversary, December 10, 2002.
Goode, Richard.The Individual Income Tax, Washington, D.C.: The Brookings Institution, 1976.
Joint Committee on Taxation.General Explanation of Tax Legislation Enacted in the 107th Congress, Washington, D.C.: GPO, January 24, 2003.
Ott, Attiat F.; Ott, David J. “Simulation of Revenue and Structure Implications of Broadening the Federal Income Tax Base,” in A. Willis, ed.,Studies in Substantive Tax Reform, 1969, pp. 27–106.
——.Reforming the Federal Tax Structure, Washington, D.C.: Fund for Public Policy Research, 1975.
Ott, Attiat F. “The Impact of the 1986 Act on Productivity,”Tax Notes, 1986, pp. 1223–26.
Pechman, Joseph A.Options for Tax Reform, Washington, D.C.: The Brookings Institution, 1984.
Pechman, J.A.; Okner, B.A.Who Bears the Tax Burden?, Washington, D.C.: The Brookings Institution, 1974.
Simon, William E.Reforming the Income Tax System, Washington, D.C.: American Enterprise Institute for Public Policy Research, 1981.
Slemrod, Joel; Bakija, Jon.A Citizen's Guide to the Great Debate over Tax Reform, Cambridge, MA: MIT Press, 2000.
U.S. Department of the Treasury.Blue Prints for Basic Tax Reform, Washington, D.C.: 1977.
Author information
Authors and Affiliations
Rights and permissions
About this article
Cite this article
Ott, A.F., Vegari, S.B. Tax reform: Chasing the elusive dream. Atlantic Economic Journal 31, 266–282 (2003). https://doi.org/10.1007/BF02298820
Issue Date:
DOI: https://doi.org/10.1007/BF02298820