 Facts and figures about UK taxes, benefits and public spending.
Analysing government fiscal forecasts and tax and spending.
Case studies that give a flavour of the areas where IFS research has an impact on society.
Reforming the tax system for the 21st century.
A peer-reviewed quarterly journal publishing articles by academics and practitioners.
Find out where you are in the income distribution.
Resources for schools and students.
|
Type: IFS Working Papers Authors: Steve Bond, Mike Hawkins and Alexander Klemm ISSN: 1742-0415
Volume, issue, pages: 23 pp
JEL classification: G14, H29, E62 Keywords: Stamp duty, transaction tax, Tobin-tax, natural experiment, tax reform
This paper provides a discussion of stamp duty and its effects. This is followed by an empirical study using changes in the rate of stamp duty in the UK as natural experiments. Because shares will be affected differently depending on how frequently they are traded, we can employ a difference-in-differences methodology. We find that the announcements of cuts in stamp duty had a significant and positive effect on the price of more frequently traded shares compared to other shares. As expected under the efficient markets hypothesis, the implementation of cuts (when at a different date from the announcement) did not affect returns differentially. Search |
IFS publications are made available free of charge online wherever possible. If you would like to make a donation to IFS to help support our research, you can donate via Just Giving.
|
|
© The Institute for Fiscal Studies
Limited by Guarantee,Registered in England: 954616 7 Ridgmount Street London WC1E 7AE Registered Charity: 258815 VAT no: GB 394 5830 17 |
||||||
