WTA’s Cornerstones of Taxation – is a yardstick that enables the Association, and others, to evaluate tax initiatives. The Cornerstones stand on five measures: Justification, Equity, Balance, Stability and Transparency. This tool helps Wyoming policy makers pave the road to sensible solutions to tax policy questions.
- Is there a justified need for the tax and is it fiscally prudent?
- Are existing government funds spent efficiently before considering a new tax?
- Is the primary goal of the tax to generate revenue or does it modify behavior or influence policy?
- Does the tax impose equal and uniform liabilities upon similarly situated taxpayers?
- Is the tax constitutional?
- Does the tax disadvantage one taxpayer over another?
- Does the tax result in diversification in taxation?
- Does the tax influence decisions regarding spending, saving or investing?
- Does the tax concentrate a financial burden on a few and will the tax distort economic behavior?
- Is the tax stable and predictable under changing political, economic, regulatory and environmental conditions?
- Is the tax visible, accountable and auditable?
- Is the tax easy to understand, administer and cost effective to collect?