A further elaboration of the former ecotax reform project, this time focusing more on practical suggestions, qualitative and quantitative analysis of several and more elaborate ecotax scenarios, rather than on theoretical foundations. We analysed the possibilities and potential economic and environmental impacts of — among others — CO2 taxes, emission taxes on air and water pollutants, energy taxes, taxes on waste, and economic instruments in reducing pollution from transport. In the emission and energy tax scenarios we examined the impacts assuming different revenue use mechanisms, namely cutting existing tax rates (VAT, social security contribution, personal income tax). In this we relied on our macroeconomic model, FEIM, which is enhanced with an environmental module. Also, the scope of taxes was widened to other components of the state budget such as customs duties, extraction fees and subsidies (expenditures).
