Taxing Pensions and Retirement Benefits in Germany

The paper motivates and describes the tax treatment of German retirement benefits and pensions after the 2005 reform initiated by the German Federal Constitutional Court. The main question is whether this reform has produced a “level playing field” among the many instruments generating retirement income in Germany. The paper briefly outlines rational principles for the taxation of retirement benefits and pensions and compares these with current practice in Germany and abroad

Fertility and population change in the United Kingdom

As in most wealthy countries, the United Kingdom (UK) population is aging and is set to continue to age for the next several decades. Recent and projected rates of change in the share of the elderly population are slow, however, compared to most other European Union (EU)-27 countries. Although since 1998 net migration has played some role, the UK’s relatively benign demographic profile has much to do with its relatively high fertility rates. Population issues, low fertility in particular, are not considered to be a major policy concern or an appropriate target for government intervention. A combination of moderately high fertility and high female employment has (at least historically) been achieved without implementing the kinds of work-family reconciliation policies that are credited with sustaining fertility elsewhere in Europe. A laissez-faire approach to the economy and residual approach to welfare may well have sustained UK fertility levels by facilitating childbearing in more socio-economically disadvantaged families. Recent, path-deviant, work-family reconciliation policies have been adopted, but the wider institutional context has moderated their potential to reduce the costs of childbearing

The Distribution and Composition of Personal Sector Wealth in Australia

This article begins by noting the scarcity of information on the distribution of wealth in Australia, and the many reasons for wanting to have such information. The potential role of the tax system in affecting the composition of wealth is noted, and the taxation of savings is briefly described. A number of different methods of estimating the distribution of wealth are discussed. Estimates for the distribution and composition of wealth in Australia in 1986 are derived from the 1986 Income Distribution Survey, which suggest that the wealthiest ten per cent of income units hold 55 per cent of total wealth. The composition of wealth is broadly consistent with the expected impact of the tax system. Copyright 1990 The University of Melbourne, Melbourne Institute of Applied Economic and Social Research.