Tax policy analysis report on solar container

What contributes to the development of sustainable taxation?

The institutional features of tax compliance and cooperation, the capacity to adapt to the 21st century technological advancement, carbon pricing, international tax dialogues and initiatives, and tax capacity contribute to the development of sustainable taxation.

What is sustainable taxation?

Defining the concept of sustainable taxation presents considerable challenges. These challenges appear to arise from the focus on tax initiatives that promote sustainability, such as transparency, fairness, and equality, rather than considering the full scope of sustainability in the tax context.

Can tax policy be integrated into the sustainability agenda?

There appears to be a relationship of interchangeability between the inclusion of tax policy into the sustainability agenda and vice versa, the integration of sustainability principles into tax reforms and initiatives.

How to address sustainability through taxation?

Several challenges to address sustainability through taxation are observed. The first challenge is to apply all 17 SDGs in tax policy since they can be contradictory. Achieving a specific target on a given SDG could have a negative impact on another goal.

How does tax policy affect environmental outcomes and sustainability?

Tax policy affects environmental outcomes and sustainability The costs of climate change, pollution and biodiversity loss are high and rising. Broad policy action, including through taxation, is needed to avert large losses and avoid irreversible loss of sustainability.

How can taxation improve sustainability?

Broad policy action, including through taxation, is needed to avert large losses and avoid irreversible loss of sustainability.   OECD tax and carbon pricing data reveal a large potential to strengthen the use of tax instruments to curb climate change and pollution and to encourage circularity in the economy.