Effect of internal migration on tax revenuesin Turkey

The aim of this study is to determine the relationship between internal migration with tax revenues in Turkey. In the study, panel regression analysis was performed at 81 provinces for the period 2008-2014. As the dependent variable, the ratio of the income tax accrued in each province to the gross domestic product and the net migration rate ratio of each province were used as independent variables. In addition, per capita income of each province is included in the model as the control variable. Income tax has been selected as tax type because of the fact that the labor force is basically labor factor mobility. According to the results of the baseline panel regression analysis, a change in the net migration rate of 1% leads to a positive change of 0.026738% in the ratio of accrued tax / gross domestic product. A 1% change in the national income per capita causes a positive change of 0.743096% on the ratio of the accrued income tax to the gross domestic product. Turkey in the 2008-2014 period as a result of internal migration to the outcome of the accrued income tax rate of net migration occurring in that it has a positive effect on the rate of gross domestic product has been reached.