Symmetric cash flow-taxationand cross-border investments

The discussion about income versus consumption as the ideal tax base looks backon a long history. In recent years, the debate about income versus consumption as the bettertax base reemerged in the United States (2002) and in Germany (2006). In view of the longhistory of the debate, it is surprising that still relatively little research has been done on crossborder-investments in a cash flow-tax system. The presented article tries to fill this gap. Forthe case of a harmonized introduction of symmetric cash flow-tax systems in several countries,rules are developed that could guarantee a systematic and feasible treatment of crossborderinvestments. Preference is given to the RF-base-cash flow-tax on the personal levelwithout a separate company tax.[...]