Distribution impact of the mortgage interest deduction in the Czech Republic

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216224%3A14560%2F14%3A00073596" target="_blank" >RIV/00216224:14560/14:00073596 - isvavai.cz</a>

Result on the web

<a href="http://dx.doi.org/10.5539/res.v6n2p110" target="_blank" >http://dx.doi.org/10.5539/res.v6n2p110</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.5539/res.v6n2p110" target="_blank" >10.5539/res.v6n2p110</a>

Result language

angličtina

Original language name

Distribution impact of the mortgage interest deduction in the Czech Republic

Original language description

This paper focuses on the mortgage interest deduction for owner-occupied housing in the Czech Republic. The main research question concerns the distribution of personal income tax liability given the rather generous interest deduction for owner-occupiedhousing loans and changes to it when restrictions are placed on the interest deduction in 2014. We used data for the Czech Republic from the EU-SILC surveys for our analysis. We estimated the value of this tax expenditure at approximately CZK 4.1 billionin 2011, with more than half the amount spent by the lowest two deciles in income distribution. Personal income tax reform is legislated to begin in 2014, one part of which will be a cap on loan interest. This reform will lead to a decrease in the yearly value of the tax expenditure but will be followed by an increase in the PIT rate. Taken together, this will generate greater tax expenditures.

Czech name

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Czech description

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Type

J_x - Unclassified - Peer-reviewed scientific article (Jimp, Jsc and Jost)

CEP classification

AH - Economics

OECD FORD branch

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Project

<a href="/en/project/GAP403%2F12%2F0366" target="_blank" >GAP403/12/0366: Identification and evaluation of region specific factors determining outcomes of reforms based on NPM ? the case of CEE</a><br>

Continuities

P - Projekt vyzkumu a vyvoje financovany z verejnych zdroju (s odkazem do CEP)<br>S - Specificky vyzkum na vysokych skolach

Publication year

2014

Confidentiality

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Name of the periodical

Review of European Studies

ISSN

1918-7173

e-ISSN

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Volume of the periodical

6

Issue of the periodical within the volume

2

Country of publishing house

CA - CANADA

Number of pages

10

Pages from-to

110-119

UT code for WoS article

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EID of the result in the Scopus database

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