Dr Ali Arshadi, Mehran Mahdavi,
Volume 2, Issue 4 (6-2011)
Abstract
Value Added Tax (VAT) as a method of tax charging with creating a new tax base broad has been interest of many countries. Also Value Added Tax in our country in order to reform the structure of tax and increasing government revenues was approved by the House after a relatively long time and in the second quarter of year 1387 was carried out. Given that this law as an experiment and for five year was carried out study of effects of this tax on macroeconomic variables is of particular importance. In this study has tried to use the analytical relationships Input-Output and production of technical coefficient matrix constant assumption of fixed economic conditions and economic variables and limiting assumptions of this study to the price effects resulting from applying VAT on cost of whole different departments to deal with the country's economy. By using of model price of input - output and applying tax rates issue of Article 12 on exemption for goods and services and ultimately applying export exemption issue of Article 13 on value added tax the price effects of each section of economy is calculated and with and with considering of share of each section from the whole output the price effects is calculated. Results show that implementation of VAT has had very low price effects.
