On 3 April 2019 the UN Subcommittee on Environmental Tax Issues released two draft chapters that when finalised are intended to form part of a handbook on carbon taxation. The chapters are to be considered by the UN Committee of Experts on International Cooperation in Tax Matters at their meeting on 23 to 26 April 2019. The Subcommittee has already presented a summary outline of the issues to be covered by the proposed Handbook in relation to the design and implementation of a carbon tax.
At a meeting of the Subcommittee on 21-22 January 2019 there was detailed discussion of the design of a carbon tax including issues related to taxing powers; the definition of the scope and tax base; how to determine the tax rates; and the identification of the taxpayer. There was also discussion on the interaction of carbon tax with other measures such as other environmental policy instruments, taxes, subsidies and international agreements; the conceptual approach to carbon taxation; administrative issues arising from the introduction of the carbon tax; and country experiences.
The draft chapters now released for comment cover the design of a carbon tax and the administrative issues in relation to the introduction of the carbon tax. To demonstrate the relevant of country experience, at the meeting on 23 to 26 April 2019 there will be an oral presentation to the Committee of Tax Experts on the experience of Chile in the implementation of its own carbon tax.
