Is the new tax reform social responsibility?

On the government's Tax Commission has just submitted proposals to the recent major restructuring of taxes in Denmark. The main topic of discussion so far has been on the mortgage interest deduction should be lowered to 25%, but it is actually many other interesting points that are worth noting. A question is also about the new taxation proposal is socially responsible?

Can the new taxation proposal contribute to the goals for climate and energy policy?

Denmark has a tradition of taxing energy and other sources high and nogde suggest that the high taxation works. Denmark is now one of the world's most energy efficient countries, perhaps because of the tax system. But according to the new taxation proposal are:

"Still need to improve and tighten energy and environmental taxation in some areas to achieve the ambitious targets on climate and environment as cheaply as possible. Tax policy is fundamental to help ensure that environmental costs can fully be said to be included in the price of the goods and activities that contribute to environmental impacts. Additionally, charges and tradable permits very effective instruments to ensure that national objectives and international commitments achieved ". Kommissoriumets summary page 10-11.

According to Carsten Koch and his colleagues must constraints are introduced gradually, with regard to what other countries do, as charges in the environment, climate, energy and transport are already among the world's highest.

Tax The move looks promising for the Danish environmental efforts

Of the approximately. 35 billion. Which in total are proposed restructured comes only 8 billion. million from green taxes, sales of CO2, which according to the Tax Commission means that:

"Emissions of greenhouse gases reduced by approx. 1.9 million. tonnes, consumption falls by 1.3 per cent. and leaching of nitrogen reduced by 30 million. kg. ". Kommissoriumets summary page 12

It looks like a big win for the environment but can also become an interesting business because taxes are forcing companies to increase the researching and innovation in energy improvements, which may be the impetus needed to see exciting Danish social innovations within the environment. Now it will be interesting to see what action policies decides to be realized.

  • Watch brought to the Tax Commission names - click here.
  • Here you will find the tax commission's website - click here.
  • Link to the summary in PDF., Referenced above - click here.
  • Read more about social innovation - click here.

Below you can see the most essential features of the new taxation proposal:

Popularity: 29% [ ? ]

One Comment

  1. Thanks for an excellent overview of the environmental consequences of faults. new tax reform. personally I am quite afraid that it goes up in hat and glasses because of interest deductions, etc..

    But time will tell ...

    Besides a good and informative page on CSR and social responsibility - thank you for it.

    Sincerely.

    KMH.

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