Rent Taxation for Nonrenewable Resources

Abstract

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Terms of use: Documents inThe literature on taxation of rents from nonrenewable resources uses different theoretical assumptions and methods and a variety of empirical observations to arrive at widely diverging conclusions. Many studies use models and methods which disregard uncertainty, investigating distortionary effects of different taxes on whether, when, and how to explore for, develop and operate resource deposits. Introducing uncertainty into the analysis opens a range of challenges, and leads to results which cast doubt upon the relevance of studies which neglect uncertainty. There are, however, several ways to analyze uncertainty, regarding companies' behavior, resource price processes, and diversification opportunities, all with different implications for taxation. Methods developed in financial economics since the 1980's are promising, but still not in widespread use. Some more specific topics covered in this review are optimal risk sharing between companies and governments, time consistency and fiscal stability, the relationship between taxes and discount rates, and transfer pricing. JEL classification numbers: B20, H20, H25, L71, O13, Q38

Hoja en blanco: hacia una nueva institucionalidad y régimen tributario para Chile

“…Impuestos a rentas económicas no generan distorsiones y por eso es eficiente utilizarlos; ese es el caso de la explotación de recursos naturales, y por esta razón el impuesto a la renta que proponemos incluye un impuesto de carácter especial que afecta las actividades extractivas o intensivas de recursos naturales no renovables (Garnaud y Ross 1983; Heaps y Helliwell 1985; Boadway y Flatters 1993; Lund 2002Lund , 2009Mirrlees et al 2010). La operatoria de este impuesto será similar al denominado actualmente royalty a la minería, con una tasa única del 10% sobre el margen operacional del contribuyente.…”

Neutrality of the Resource Super Profits Tax

“…There have been discussions in the economics literature of the appropriate interest rate to use for the accumulation (see, for example, Section 6.2 in Lund 2009). The main question is whether it should include a risk premium.…”

“…3 3 This author has claimed elsewhere (Lund 2002, p. 39; 2009, p. 295) that the Brown tax is non‐distortionary when there are real options, but no detailed argument was given. Sureth (2002) has an explicit demonstration of the result. …”

Trends and Trade-Offs in Petroleum Tax Design

“…Our focus is on trends and practical issues in the design of petroleum taxation. For more theoretical and general approaches to the taxation of non-renewable natural resources, see and Lund (2009).…”