Progressive Taxation and Lorenz Curve in the Philippines

Joselito  Y. Bautista,

Progressive Taxation and Lorenz Curve in the Philippines

Abstract:

The individual income tax system in thePhilippines is progressive in nature.Progressive taxation poses a key policy issue for our society. There are various affirmativearguments for progression. The main objective of this paper is todetermine whether the present tax structurefor individual income is over-progressive,under-progressive or just appropriate, giventhe present status of income distribution inthe Philippines as depicted by the Lorenzcurve.