Monday, May 14, 2007
Taxing Wages: OECD Study
The Organisation for Economic Co-operation and Development (OECD) recently published its annual report, Taxing Wages. This report evaluates the differences between labor costs to individual employers and the net take home pay to employees in 30 member countries. (oecd.org)
The United States fared rather well in the analysis.
In Belgium, Germany, Hungrary and France, more than 50% of the employer's labor costs went to satisfy taxes. In the UK, 33.9% of the employer's labor costs went to satisfy taxation, in Canada this number was 32.1%. The United States placed 22nd of the 30 countries studied, with 28.9%, followed closely by Japan (28.8%) and Ireland (28.6%).
The United States fared rather well in the analysis.
In Belgium, Germany, Hungrary and France, more than 50% of the employer's labor costs went to satisfy taxes. In the UK, 33.9% of the employer's labor costs went to satisfy taxation, in Canada this number was 32.1%. The United States placed 22nd of the 30 countries studied, with 28.9%, followed closely by Japan (28.8%) and Ireland (28.6%).
Labels: tax wedge, wage taxation, wage taxes
