OECD Taxation Working Paper on the Taxation of Labour vs Capital Income

The OECD has released a taxation working paper on the taxation of labour vs. capital income.

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The taxation of labour vs. capital income

A focus on high earners

This working paper presents novel analysis comparing in a consistent way the tax treatment of labour and capital income across OECD countries, through stylised effective tax rates (ETRs). It shows that dividend income and capital gains are generally subject to lower ETRs than wage income at the personal level. In many countrie…