Taxation Theory

Curriculum Guideline

Effective Date:
Course Code
ACCT 4770
Taxation Theory
Commerce & Business Administration
Start Date
End Term
Not Specified
Semester Length
15 weeks
Max Class Size
Contact Hours
4 hrs per week
Method Of Instruction
Methods Of Instruction

Lectures &/or on-line

Course Description
This course is a study of origins and analysis of current taxation systems covering personal and corporate income taxes, consumption, excise, payroll and property tax. It involves an introduction to economic theories of taxation covering topics such as incidence, optimal taxation and efficiency. Reference will be made to existing tax systems and to empirical studies.
Course Content
  1. Origin and analysis of current tax system
  2. The effects of taxation
  3. Tax incidence
  4. Optimal taxation
  5. Taxation and Efficiency
Learning Outcomes
  1. Describe the origin of different types of taxation; income tax, consumption tax, excise tax, payroll tax and property tax
  2. Analyze the consequences of different forms of individual and corporate taxation on economic decisions and policy making.
  3. Examine taxation theory models; general, partial equilibrium and two period models.
  4. Analyze the economics of taxation topics such as equilibrium analysis of incidence, equity and efficiency and optimal taxation theory
Means of Assessment


10 - 20%

Research Project(s)

20 - 30%


20 - 30%

Final examination

30 - 40%

Students must write both Midterm and Final examinations in order to obtain a passing grade for the course.

To pass this course, students must obtain a minimum of 50% of on invigilated assessments, with the 50% calculated on a weighted average basis.

Invigilated assessments include, in-class quizzes, in-class tests, midterm exam(s) and the final exam.

Students may conduct research as part of their coursework in this class. Instructors for the course are responsible for ensuring that student research projects comply with College policies on ethical conduct for research involving humans, which can require obtaining Informed Consent from participants and getting the approval of the Douglas College Research Ethics Board prior to conducting the research.

Textbook Materials

Resources provided by instructor from several sources approved by the department


The Economics of Taxation. Bernard Salanie. The MIT Press.

OR textbook approved by the department

AND resources provided by instructor


ACCT 3370 grade C or better AND ECON 1150 with C or better


Courses listed here must be completed either prior to or simultaneously with this course:

  • No corequisite courses

Courses listed here are equivalent to this course and cannot be taken for further credit:

  • No equivalency courses