Sulla progressività limitata della tassazione dei redditi in Italia

This paper is about the notion and the interpretation of progressivity and redistribution of the Italian personal income tax. It will be discussed that since the income tax is not a tax on the comprehensive income, significant problems arise in terms of horizontal and vertical equity. In this context, it is argued that the emphasis placed on the concept of redistribution simply as a way of amending the distribution of income and wealth originated by the market is misleading, if the public expenditure side is not included into the analysis. The main thesis is that the progressivity of the income tax cannot resist both the tendency to narrow the tax base and the tendency to reduce income limits to access public services. The absence of both a wider tax base and of a universal system of welfare undermines the necessary fiscal contractualism that is necessary to preserve progressivity in the long run, suggesting that progressivity itself should be mitigated.