Skip to main content

Income splitting among the self-employed

Buy Article:

$51.00 plus tax (Refund Policy)

Abstract:

Abstract. 

Under individual taxation with progressive marginal tax rates, households in which the distribution of income is unequal benefit from attributing income to the lower income household member. Self-employment provides greater potential to ‘split’ income in this way because of the absence of a third party reporting income. Using the Canadian experience as a case study, this paper develops a unique estimator of the incidence of illegal income splitting among self-employed couples. The results suggest that the incidence of income splitting among self-employed men in Canada is non-trivial; but no evidence is found that self-employed women attribute income to their spouses.

Keywords: H21; H26; H31 J22

Document Type: Research Article

DOI: http://dx.doi.org/10.1111/j.1540-5982.2006.00387.x

Affiliations: Department of Economics, University of Victoria

Publication date: November 1, 2006

Access Key

Free Content
Free content
New Content
New content
Open Access Content
Open access content
Partial Open Access Content
Partial Open access content
Subscribed Content
Subscribed content
Free Trial Content
Free trial content
Cookie Policy
X
Cookie Policy
Ingenta Connect website makes use of cookies so as to keep track of data that you have filled in. I am Happy with this Find out more