Step 4 of 4 · Learn to buildHow-to guide

LearnDo it with open toolsRun a tax policy simulation

Run a tax policy simulation

Show what a rate or threshold change does to households and to revenue, with the rules in the open.

A route to listed tools, not a lesson, and not tax advice: a person decides.

Open it

The steps, at a high level

  1. Install the country package: policyengine-us or policyengine-uk (pip), or openfisca-france; each holds the rules as code with parameters and formulas.
  2. Describe a household or load the survey microdata, define the reform as a parameter change, and compute the outcomes before and after.
  3. Report the aggregate and distributional results with the package version and the parameter you changed, so the run can be repeated.

Check before you rely on it

  • PolicyEngine's READMEs say direct microsimulation through the packages is deprecated in favour of the managed policyengine.py bundle; results are estimates.
  • These are tax-benefit models for households; none models corporate provision or Pillar Two.
  • AGPL-3.0: a service built on them must publish its source.

Where these tools sit on the map

Back to step 1The mapWhere tax work happens and by whom: a tax department and a tax authority, team by team, with what is open for each activity.