It is a compulsory subject, common to the degrees in Business Administration and Management, Degree in Taxation and Public Administration, Degree in Finance and Insurance and Degree in Marketing. It is taught during the first semester of the third course of the Bachelor in Business Administration and Management, Bachelor in Taxation and Public Administration, Bachelor in Marketing and Double Bachelor’s Degree in Business and Economics programs.

This subject is part of the Business Fundamentals Module.



The objective of the subject is to understand the different sources of income of the Public Sector, especially in the field of tax analysis. To do so, the fundamental tax principles that must be taken into account in the design or reform of a tax system, as well as the main characteristics of the Spanish tax system.



Basic knowledge in Microeconomic Theory is required.

a) Specific:



1. Reflect rigorously on the fundamental tax principles that should guide the design and/or reform of current tax systems to judge the desirability of taxes and coherently define the elements of current taxes.



2. Identify who effectively bears the excess burden in the context of tax incidence models to find out whether or not there has been a transfer of the tax.



3. Discern with economic arguments between the different sources of government financing based on fundamental tax principles.



b) Transversal:



4. Know how to search, identify, systematize, analyze and synthesize information from various sources. G004



5. Issue reasoned judgments and make decisions on relevant issues with a critical capacity. G003, G011



6. Develop learning skills to acquire a high degree of autonomy in their own self-training. G005



7. Use information and communication technologies (ICT) in their field of study and professional context. G008



8. Ability to work as a team on tax issues that are proposed. G010



9. Capacity for written and oral communication, especially in the preparation of clear and coherent reports. G004. G009



LEARNING RESULTS:



-To know the fundamental tax principles that should guide the design and/or reform of tax systems.



-To know the elements that make up the tax.



-To know the main tax transfer mechanisms.



-To know how to identify the main design problems of the most important taxes in the tax system.

TAXATION THEORY:



Topic 1. Valuation Criteria of Tax Systems.



1.0.- Introduction.



1.1.- Taxes: definition and classification.



1.2.- The elements of a tax.



1.3.- Principles of Taxation.



1.4.- Commitments between principles.







Topic 2. Taxation and Efficiency.



2.0.- Introduction.



2.1.- Tax distortions and excess burden.



2.2.- Excess burden.



2.3.- Optimal taxation: efficiency. General rules of efficient taxation.







Topic 3. Distributive Incidence of Taxation.



3.0.- Introduction



3.1.- Tax incidence in partial equilibrium: unit taxes on goods.



3.2.- Tax incidence in partial equilibrium: taxes on the value of goods







TAX SYSTEM:







Topic 4. Personal Income Tax.



4.0.- Introduction.



4.1.- Why a personal income tax?



4.2.- Income as a measure of the ability to pay the tax.



4.3.- Determination of Tax Income in practice.



4.4.- The most common income tax deductions.



4.5.- Theoretical or formal progressivity of income tax.



4.6.- Choice of taxpayer unit.



4.7.- Inflation and income tax.







Topic 5. Corporate Tax.



5.0.- Introduction.



5.1.- Why a corporate income tax?



5.2.- Structure of corporate tax.



5.3.- Should individual and corporate income taxes be included?







Topic 6. Indirect Taxation. VAT (Value Added Tax).



6.0.- Introduction.



6.1.- Advantages and disadvantages of indirect taxation on consumption.



6.2.- Selective taxation.



6.3.- General taxes on sales volume.



6.4.- Value added taxes.



6.5.- Complexity in VAT.



6.6.- International aspects of VAT. VAT and the European Union.

In the magisterial modality, the teacher will teach exposition classes on the conceptual contents of the subject, encouraging the participation of the students.







In the practical classes, questions and problems will be solved in the classroom in a participatory way. Problems and exercises will be provided to be developed in group class, which will allow them to deepen their theoretical knowledge of the subject. The formulation of questions and open discussion will be encouraged.

• Final Assessment System
• Tools and qualification percentages:
  • Written test to be taken (%): 100

IThe subject will be evaluated through a final exam that will comprise 100% of the mark and that will be carried out on the official date of the ordinary evaluation.

A final exam that will comprise 100% of the mark and that will be carried out on the official date of the extraordinary evaluation.

Basic and complementary bibliography on the topics covered, available in the Library.

Collection of Subject Problems.

Basic bibliography

Albi E., González Páramo JM Urbanos R. and Zubiri I, “Public Economics II: Theory of Imposition. Tax system. Other Public Income. International Public Economics” Edit. Ariel Economy, 4th Updated Edition. 2017.







Company Tax Regime Problems. Faculty of Economics and Business. UPV 2018-19

In-depth bibliography

Rosen H., “Public Finance” McGraw-Hill Editorial. 7th Edition. 2007

Musgrave R. and P. Musgrave .,
“Public Finance: Theoretical and Applied” Publishing McGraw-Hill. 5th Edition. 1992

Stiglitz J. "The Economy of the Public Sector" Editorial Antoni Bosch. 2nd Edition 1995

Costa M, Durán JM Espasa M, Esteller A. and Mora A., “Basic Theory of Taxes: an Economic Approach” Editorial Thomson Civitas . 2nd Edition 2005

Boadway RW and Wildasin DE "Public Sector Economics" Institute of Fiscal Studies. 2nd edition. 1986

Boadway R.W. y Wildasin D.E. “Economía del Sector Público” Instituto de Estudios fiscales. 2ª edición. 1986

Journals

Spanish Public Treasury / Public Economy Magazine http://www.ief.es/
Tax Chronicle http://www.ief.es/

Spanish Economy Papers http://www.funcas.ceca.es/

Budget and Public Expenditure http://www.ief.es/

Ekonomiaz : Basque Economic Magazine http://www1.euskadi.net/ekonomiaz/

Zergak : Tax Gazette of the Basque Country http://www.ivap.euskadi.net/

Web addresses

National:
Ministry of Economy and Finance: http://www.meh.es/Tax Agency: http://www.aeat.es/Official State Bulletin (BOE): http://www.boe.es/Boletín Official of the Basque Country (BOPV): http://www.euskadi.net/Instituto de Estudios Fiscales: http://www.ief.es/Diputación Foral de Vizcaya: http://www.bizkaia.net/Diputación Foral de Álava: http://www.alava.net/Diputación Foral de Guipúzcoa: http://www.gipuzkoa.net/Banco de España: http://www.bde.es/INE: http://www. ine.esEUSTAT: http://www.eustat.es


International: OECD: http://www.oecd.org/home/EUROSTAT: http://europa.eu.int/comm/eurostat/