Introduction to Tax Policy Design and Development

This paper was prepared for the World Bank course on Practical Issues of Tax Policy in Developing Countries and presents a broad overview of tax policy design in developing countries. Its objectives are to explore the differences and similarities among tax systems around the world and to discuss how tax policy can affect economic growth. Although the article does not provide solutions to specific challenges, it suggests appropriate key elements to be considered by tax-policy designers aiming at the most feasible tax structure in a particular developing country.