I’m a relentless (probably to the point of being annoying) proponent of tax competition among jurisdictions.
And I’m more than happy to pontificate on the theories that support my position. But every so often it helps to have a powerful real-world example.
Our example today deals with the fact that the United Kingdom has a very punitive tax on air passengers, but the U.K. government also is devolving some powers to regions such as Scotland. And this bit of decentralization is already generating some pressure for tax reductions.
Here are excerpts from a story in Scotland’s Herald.
The UK government’s decision to devolve control of Air Passenger Duty (APD) to Holyrood means…
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