Tax concessions during COVID-19 crisis ineffective, prompt need for tax system reforms.
The article examines tax policies implemented by six countries in response to the economic impact of COVID-19. The study finds that tax concessions may not be very effective in helping individuals and businesses in financial difficulty. Instead, reforms like extending tax loss recognition could make the income tax system fairer and more efficient in the long run. The research suggests that policymakers should consider alternative non-tax responses to address liquidity, income support, and stimulus objectives.