Einfach ist nicht immer gerecht: Eine Mikrosimulationsstudie der Kirchhof-Reform für die Einkommensteuer

Max Löffler, Andreas Peichl, Nico Pestel, Hilmar Schneider, Sebastian Siegloch

Research output: Contribution to journalArticleProfessional


In this contribution we analyze Paul Kirchhof‘s income tax policy proposal with regard to conflicting goals of tax revenue, distributional effects and efficiency considerations. While effects on labor supply are moderate, the tax policy proposal reduces government budget revenue by 20 billion euros. Moreover, it has a considerable effect on income inequality. Despite broadening the tax base only the income distribution's top decile benefits from the proposed flat tax rate. Due to these problematic effects we conclude that the Kirchhof proposal is not politically enforceable.
Original languageGerman
Pages (from-to)147–160
JournalVierteljahrshefte zur Wirtschaftsforschung
Issue number4
Publication statusPublished - 2011

JEL classifications

  • d31 - Personal Income, Wealth, and Their Distributions
  • h24 - "Personal Income and Other Nonbusiness Taxes and Subsidies; includes inheritance and gift taxes"
  • j21 - Labor Force and Employment, Size, and Structure


  • tax simplification
  • Kirchhof
  • microsimulation
  • labor supply
  • income inequality

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