Tax regarding married couples in the Germany as well as the United kingdom: One-Earner Partners Result in the Difference
- Germany Institute to own Economic Search (DIW Berlin), Berlin ;
Conceptual
An enormous human body of literary works explains one combined taxation out-of married couples with full money breaking (Ehegattensplitting) is a vital reason behind the latest seemingly lower labor force involvement away from partnered women in Germany. This papers talks about the brand new cousin gains regarding joint taxation getting hitched partners by evaluating active taxation burdens for a few groups of tax equipment between Germany therefore the United kingdom. Utilizing the income tax and work with microsimulation model, EUROMOD, i examine effective mediocre income tax costs getting single men and women, one-earner couples, as well as 2-earner couples inside the Germany and United kingdom. […]