OECD - Consumption Tax Trends 2016

This is the eleventh edition of Consumption Tax Trends , a biennial OECD publication. It presents cross-country comparative data relative to consumption taxes in OECD member countries, as at 1 January 2016. Tables using data from the National Accounts and data on tax revenue from Revenue Statistics 1965-2015 are updated up to and including 2014. Price levels for fuel oils are updated as at 4th Quarter 2015 from Energy Prices and Taxes Quarterly Statistics issued by the International Energy Agency. The country data for the report have, for the most part, been provided by delegates to Working Party No. 9. The exchange rates used to convert national currencies into US dollars (USD) are average market rates for 2015 taken from the OECD Monetary and Financial Statistics , except for ) where the Purchase Power Parity (PPP) rates are used as they provide for a better comparison of the value of VAT relief thresholds (PPP rates for GDP 2015 are extracted from the OECD Statistics Database).

This publication illustrates the evolution of consumption taxes as instruments for raising tax revenue. It identifies and documents the large number of differences that exist in respect of the consumption tax base, rates and implementation rules while highlighting the features underlying their development. It looks, in particular, at developments in the Value Added Tax/Goods and Services Tax (VAT/GST) area (referred to as VAT in this publication). It notably presents an updated estimate of the VAT Revenue Ratio (VRR) for OECD countries, providing an indicator of the loss of VAT revenue as a consequence of exemptions and reduced rates, fraud, evasion and tax planning. It notes the completion of the OECD International VAT/GST Guidelines and its worldwide acceptance as the emerging international standard for the application of VAT to cross-border trade in services and intangibles. describes the main features of vehicle taxes and their use for influencing customer behaviour. It provides detailed information on taxes on sale and registration of vehicles and recurrent taxes.

This publication was prepared under the auspices of the Working Party N 9 on Consumption Taxes, of the Committee on Fiscal Affairs. It was written by Stphane Buydens of the OECD Centre for Tax Policy and Administration (CTPA).