Open AccessINFLUENCE OF PERSONAL INCOME TAX ON THE MUNICIPALITIES’ INCOME / GYVENTOJŲ PAJAMŲ MOKESČIO ĮTAKA SAVIVALDYBIŲ PAJAMOMS
Author(s) -
Neringa Slavinskaitë,
Orinta Kreizaitė,
Monika Stonytė
Publication year - 2015
Publication title -
mokslas - lietuvos ateitis
Language(s) - English
Resource type - Journals
eISSN - 2029-2341
pISSN - 2029-2252
DOI - 10.3846/mla.2015.752
Subject(s) - personal income tax , personal income , gross income , lithuanian , income tax , adjusted gross income , wage , demographic economics , economics , business , state income tax , labour economics , public economics , economic growth , tax reform , linguistics , philosophy
The article analyzes the impact of Lithuanian Republic personal income tax changes on municipality budget and the factors influ -encing that change. This area of Lithuanian practice is evaluated, applied methodical positions are discussed, an overview of other countries’ practical experience and theoretical work is presented. Personal income tax in European countries is one of the main taxes, but the existing framework of personal income tax and the taxation policies, as defined in each country, influence the policy of personal income tax in various European countries. The study showed that the total amount of collected personal income taxes increases each year (2009 – 2,411 millions Lt., in 2013 – 3,723 millions Lt.). The analysis showed that the personal income tax collection is influenced by the average wage (correlation coefficient – 0.72), number of employees (correlation coefficient – 0.87) and taxexempt income (ratio or correlation – 0.72)