OECD Tax Policy Studies Taxation of SMEs : Key Issues and Policy Considerations.

Annotation This report covers a broad range of SME taxation issues, including possible effects of taxation on the creation and growth of SMEs, and considerations arising from a relatively high compliance burden. Differing income tax and social security contribution burdens of unincorporated and incorporated SMEs are considered in detail, with analysis of average statutory tax rates carried out to investigate possible tax distortions to business creation and business structure decisions of a single worker/owner of an SME. Various arguments are presented for and against the targeting of tax incentives at SMEs. Country examples of SME tax incentives and compliance cost reduction measures are provided in the report. Read more... This Report Covers A Broad Range Of Sme Taxation Issues, Including Possible Effects Of Taxation On The Creation And Growth Of Smes, And Considerations Arising From A Relatively High Compliance Burden. Differing Income Tax And Social Security Contribution Burdens Of Unincorporated And Incorporated Smes Are Considered In Detail, With Analysis Of Average Statutory Tax Rates Carried Out To Investigate Possible Tax Distortions To Business Creation And Business Structure Decisions Of A Single Worker/owner Of An Sme. Various Arguments Are Presented For And Against The Targeting Of Tax Incentives At Smes. Country Examples Of Sme Tax Incentives And Compliance Cost Reduction Measures Are Provided In The Report.--publisher's Description. Introduction -- Characteristics Of Smes -- Income Taxation Of Smes -- Tax Distortions To Sme Creation, Business Structure And Growth -- Tax Incentives For Smes -- Sme Tax Compliance Cost And Simplification Provisions. This Report Was Written By W. Steven Clark And Alastair Thomas--p. 4. Also Published In French Under The Title: La Fiscalité Des Pme. Includes Bibliographical References.