Tax Evasion at the Top of the Income Distribution: Theory and Evidence

Re:Tax Evasion at the Top of the Income Distribution: Theory... by ucha on Tuesday May 18, 2021 @01:45PM (#27198336)

My company has remote employees in a 3rd world country who prefer to be paid in crypto rather than on their bank account. Resident nationals are prohibited from owning foreign bank accounts. The value of freely convertible currency is 80% overstated by their central bank. If I pay them in the local currency, they lose 45% of the value of their labor to a corrupt government.

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Re:Tax Evasion at the Top of the Income Distribution: Theory... by CrazyPyroLinux on Tuesday May 18, 2021 @01:59PM (#27198530)

> they lose 45% of the value of their labor to a corrupt government

That sounds like income taxes. :)

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Re:Tax Evasion at the Top of the Income Distribution: Theory... by lazide on Tuesday May 18, 2021 @03:32PM (#27199852)

At least you get a receipt when you pay your taxes I guess?

One challenge with inflation is how hard it is to measure and how it impacts different parts of the economy differently. If you’re buying chickens, it might be impacting you 20% or 100%, houses the same range but differently, etc. taxes at least are usually published and more knowable/can be planned around.

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Re:Tax Evasion at the Top of the Income Distribution: Theory... by ucha on Tuesday May 18, 2021 @03:45PM (#27200031)

I'd say more like a tariff, because you pay a 80% tax when you buy foreign goods (or pay an 80% tax when a foreigner sells good to locals).

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Re:Tax Evasion at the Top of the Income Distribution: Theory... by merpnderp on Tuesday May 18, 2021 @02:15PM (#27198782)

Taxes - inflation, potato - potato.

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