Document Type
Article
Publication Date
2017
ISSN
0040-0041
Publisher
New York University School of Law
Language
en-US
Abstract
The predecessor to this Article explored the properties of an income tax that uses economic depreciation in measuring capital income. This Article investigates some fundamental properties of an income tax that does not. The predecessor illuminated the equivalence between economic depreciation and accrual taxation, and highlighted the insight, due to Paul Samuelson, that either produces asset values that are independent of their holders' marginal rates, even in a system with graduated rates (and even if those rates vary over time). The current Article explores in qualitative terms the value of "preferential" departures from valuation-neutral taxation.
Recommended Citation
Theodore S. Sims,
Income Taxation and Asset Valuation (II) The Value of Preferential Taxation
,
in
71
Tax Law Review
53
(2017).
Available at:
https://scholarship.law.bu.edu/faculty_scholarship/1661
