I30 - Welfare, Well-Being, and Poverty: GeneralReturn

The aim of this paper is to find out how the tax-benefit system in the Czech Republic contributed to progressivity of income distribution between years 2004 and 2014. Analysis was done by comparing Lorenz curves, Gini coefficient and index of effective progressivity. Indicators were designed for different income situations caused by taxation, social insurance and social incomes. It was found, that setting of the tax-benefit system progressively affected the distribution of household incomes. Level of progression had constant values. The most important tools are in a long-term period social incomes (pensions and welfare benefits) and taxes, which can be reasonably regarded as a progressive factor especially in case of using a tax bonus.