The impact of tax structures towards the economic growth of top 5 developed countries / Nurul Atiqah Ampri

The implementation of certain tax structures in a country may cause an enourmous impact towards its economic growth either in positive or negative way. Therefore, the ultimate purpose of this research is to investigate the impacts of tax structures towards the economic growth of developed countries. The dependent variable of this study is gross domestic product (GDP). Meanwhile, the independent variables to be used in this study is consists of five variable, which are tax revenue (TAX), tax on income, profit and capital gain (INCOMETX), tax on international trade (INTERTX) and lastly tax on goods and services (GOODTX). Based on previous research findings, this study is expecting a significant and positive relationship between the overall variables with the GDP. This due to some of the previous researchers found the opposite results. For instance, Folster & Henrekson (2001) claimed that tax revenue which is part of GDP share has negative correlation with GDP growth. Gemmell et.al (2011) states that taxes on income and profit