Paying Taxes 2013 is a unique study from PwC, World Bank and IFC which looks at the world’s tax systems from the business perspective, providing an ability to compare tax regimes in 185 economies using a case study company.
The study generates a set of indicators (the Total Tax Rate, the time to comply and the number of payments) that measure the world's tax systems for the ‘ease of paying taxes’ in each economy. The World Bank uses these indicators to calculate a overall ranking which is a simple average of the percentile ranking of each of these indicators. Paying Taxes has been part of the World Bank Group Doing Business project for eight years.
This year our publication focuses on the trends in the data over the eight years included in the study, and breaks the results out into eight geographical regions around the world. Now that the Paying Taxes measures have been calculated for a large number of economies over the eight year period we felt we have sufficiently robust data to conduct some statistical analysis into the relationship between the tax system and economic growth and the ability to attract overseas investment. The results of this analysis are explained by our senior economic adviser Andrew Sentance.
The main objective of the report is to supply business leaders and policy makers with robust data to enable tax systems to be compared on a like for like basis, and to help inform the dialogue which underlies the development of tax policy.