(Published in L"Express )
Based on the recommendations of the Appendix VI on Earned Income Tax Credit (EICT) in the IMF Art IV document of May 2014, Government has proposed the Negative Income Tax (NIT) in Budget 2017/2018. The IMF article argues that a EITC/NIT will generally augment the income of the poor and encourage labour force participation and employment. It makes the case for introducing an EITC for Mauritius because of its increasing income inequality, its relatively inefficient social safety net system, its low labour participation rate and high unemployment among the young and women.
Based on the recommendations of the Appendix VI on Earned Income Tax Credit (EICT) in the IMF Art IV document of May 2014, Government has proposed the Negative Income Tax (NIT) in Budget 2017/2018. The IMF article argues that a EITC/NIT will generally augment the income of the poor and encourage labour force participation and employment. It makes the case for introducing an EITC for Mauritius because of its increasing income inequality, its relatively inefficient social safety net system, its low labour participation rate and high unemployment among the young and women.
