Tax Amnesty as an Instrument of Tax Policy

摘要

A comparative overview of tax systems around the world reveals that tax amnesties are gaining popularity in recent times, most probably due to their fiscal impacts. In the Republic of Croatia hitherto there has been no serious discussion, in academic or policy circles, on the need to employ a tax amnesty or a similar programme. Against this backdrop, the paper first aims to lay out the theoretical framework of tax amnesties, within which it is possible to identify the notion of this instrument and examine all of its legal and socio-economic ramifications. The second part of the paper takes on a more specific perspective of the Croatian tax system. It is asserted that neither of the measures used by Croatian policymakers in the past may be encompassed by the wider notion of tax amnesty. Furthermore, it is argued that, in the light of the entirety of its potential effects, future reforms of Croatian tax law should not include a tax amnesty.