Tax law

The Internal Revenue Code is the primary statutory basis of federal tax law in the United States. The Code of Federal Regulations is the Treasury Department's regulatory interpretation of the federal tax laws passed by Congress, which carry the weight of law if the interpretation is reasonable. Tax treaties and case law in U.S. Tax Court and other federal courts constitute the remainder of tax law in the United States.

Tax law or revenue law is an area of legal study which deals with the constitutional, common-law, statutory, tax treaty, and regulatory rules that constitute the law applicable to taxation.

Major issues

Primary taxation issues facing the governments world over include;

  • Taxes on income and wealth (or estates).
  • Taxation of capital gains versus labor income.
  • Ecotax (short for Ecological taxation) refers to taxes intended to promote environmentally friendly activities via economic incentives.
  • Tax evasion and avoidance leading to reduced government revenue.
  • Due to an Inefficient tax system in many underdeveloped countries, the majority of small businesses are not taxed.