Amadeo Fuenmayor, director of the Regional Taxation Chair and member of the research group EvalPub of the Universitat de València, has participated in a recent article which addresses the marginal type of the IRPF and its influence in the perception of salaries and the tax burden.
The article has as objective explain the concept of the marginal type in the IRPF and how it influences in the perception of the salaries and the tax burden. Through the text, myths about this tax rate are denied and, a clearer vision on the way taxes are distributed between different income levels is offered, suggesting that the medium type is a more accurate measure to evaluate the progress of the tax system.
Amadeo Fuenmayor, director of the Regional Taxation Chair of the Universitat de València, recommends no comparinf the taxation in IRPF of two different incomes using the marginal type, but the medium. This is because the medium type reflects in a more precise way the percentage of payed incomes of the total of incomes, taking into account the reductions and exemption for low salaries. Amadeo Fuenmayor notes that, by using the marginal type, important elements of the tax system are excluded, which can distort the fiscal comparison.
