Abstract:

The article examines the impact of tax benefits on the choice of form of work performance in Poland. In particular, an attempt was made to answer the question whether the impact of tax incentives on taking up self-employment depends on the employment industry, profession, level of education, sex and age of the taxpayer. The microsimulation model was used to determine tax benefits. The study of the relationship between self-employment and tax benefits was carried out using probit models. The results of the analysis lead to the paradoxical conclusion that in most taxpayers' tax incentives have a negative impact on the choice of self-employment, which may be a consequence of the phenomenon of income concealment. A positive effect occurs only in the case of taxpayers performing basic professions and employees in industries strongly associated with the public sector.