|
Slovenia is among the OECD countries that levy a high tax and social security contribution burden on the labour income of single taxpayers, although their tax burden did decline between 2000 and 2011. Over this period, the average tax wedge (income taxes plus employee and employer social security contributions minus cash transfers as a percentage of total labour costs) of single employees remained at more than 6 percentage points above the OECD average regardless of their earnings level. On the other hand, the tax wedge of single parents with low earnings remained below the OECD average; their tax wedge was 3 percentage points lower than the OECD average in 2011. For average one-earner couples with 2 children the tax wedge was 2 percentage points below average.
|
Tax Wedge in % of labour costs for different wage levels
and household types, 2000 and 2011
|
|
|
|
The tax wedge decreased for all family types between 2000 and 2011. Single taxpayers without children benefited the most, with reductions of more than 3 percentage points.
|
download the above graph and data for all OECD countries (xls/729kB)
From 2010 to 2011, the tax wedge increased moderately for almost all the family types in the Taxing Wages Report. The tax wedge changed the most for single parents earning 67% of the average wage; the tax burden increased by 0.4 percentage points to 12.7% of total labour costs. For average one-earner couples with 2 children, the tax wedge increased by 0.3 percentage points to 23.2% of total labour costs. The tax wedge slightly rose by 0.1 percentage point for the single taxpayers earning the average wage and 167% of it and for two-earner couples with 2 children where one spouse earns the average wage and the other spouse 67% of it. On the other hand, for single taxpayers earning 67% of the average wage the tax burden remained at 38.6% of total labour costs.
The tax wedge in Taxing Wages is calculated on the basis of the average gross wage earnings of full-time employees in the private sector (including employees at management level). The corresponding 2011 annual average gross wage for Slovenia was EUR 17 373.
Graphical Exposition of the 2011 Estimated Tax Burden
The graphs in this section show the estimated tax burden on labour income in 2011 for gross wage earnings between 50 per cent and 250 per cent of the average wage (AW). They cover four family types with the average and marginal tax wedge presented in a separate graph for each:
- single taxpayers without children,
- single parents with 2 children,
- one-earner married couples without children, and
- one-earner married couples with 2 children
There are two graphs for each family type – one showing the average tax wedge as a percentage of total labour costs (TLC) and the corresponding net personal average tax rate as a percentage of gross earnings; the other showing the marginal tax wedge and the net personal marginal tax rate. Each graph presents a breakdown of the tax wedge into five separate components as a percentage of TLC:
- central income taxes,
- local income taxes,
- employee social security contributions,
- employer social security contributions, and
- family benefits.
Download the AVERAGE graphical expositon file, 2011 (XLS/609kB)
Download the MARGINAL graphical expositon file, 2011 (XLS/644kB)
Observations from the OECD concerning the data for 2011 can be found within the publication.
Special Feature: Wage Income Tax Reforms and Changes in Tax Burdens in Slovenia: 2000-2009
Slovenia, which is a new member of the OECD, is not included within the Special Feature of the 2010 edition of Taxing Wages as no fully finalized Taxing Wages models were available when the Special Feature was written.
More Information
A detailed description of the tax system in Chile and the associated calculations for the tax wedge are included in Taxing Wages 2010.
Comparative analyses comparing country data can be found on our free online database OECD.StatExtracts, under: Public Sector, Taxation and Market Regulation > Taxation > Taxing wages.
Access to the complete dataset shown in the Taxing Wages report, including detailed country information, is through subscription. For details on how to subscribe please visit our "Getting Online Access" page at the OECD Library website.
Back to the Taxing Wages home page
|
