—particularly through a destination-based cash flow tax (DBCFT)—this paper studies other forms of efficient destination-based taxes … finds that the DBACC and DBACE reduce profit shifting and tax competition, but cannot fully eliminate them, with the DBACE … destination-based tax system, we conclude that advantages of the DBCFT are likely to outweigh the transitional advantages of the …

-income tax rate increases GDP, wages, consumption, investment, and business density. The trade balance is at the same time … negatively affected. Firms headquartered in a country which lowers its corporate tax become internationally less active and … corporate-tax reform. The dynamic response of the economy can substantially differ when comparing shorter and longer time …

This paper estimates the causal effect of corporate tax hikes on firm investment based on more than 1,400 local tax … study how tax hikes induce firms to revise their investment decisions. On average, the share of firms that invest less than … previously planned increases by three percentage points after a tax hike. This effect is twice as large during recessions …

We study the consequences of multinational tax avoidance on the structure of government tax revenues. To motivate our … analysis, we show that countries with high revenue losses due to profit shifting have lower corporate tax revenues and rates … and higher indirect tax revenues and rates. To establish causality, we use German municipal data and analyse how changes …

We exploit exogenous variation in tax notches created by controlled foreign corporation (CFC) rules to better … estimate an unbiased profit-shifting semi-elasticity of about 0.22. Removing incentives to shift profits to particular low-tax … locations leads to profit relocation to ‘next-best’ low-tax countries, allowing firms to circumvent domestic taxation. We do not …

This paper analyzes how exporters are affected by corporate tax reforms in destination markets. We introduce tax policy … corporate tax rates. This competitive effect induces firms to reduce the number of exported products and to skew their export …

How did the rise of multinational enterprises (MNEs) put pressure on the prevailing international corporate tax … framework? MNEs, and firms with market power, are not new phenomena, nor is the corporate income tax, which dates to the early … triggered unprecedented recent concerns about vulnerabilities in international tax arrangements and the taxation of MNEs? This …

This paper argues that tax avoidance by large corporations has contributed to the 25% increase in concentration among U ….S. firms since the mid-1990s. Corporate tax avoidance gives large firms a competitive edge, which translates into larger market … the causal impact of tax avoidance on firm-level sales. Had firms not resorted to tax avoidance in 2017, our results imply …

The recent international agreement on a minimum effective corporate tax rate marks a profound change in global tax … strategic responses to a minimum tax, which—–the policy objective being to change the rules of tax competition game … calibration plausibly suggest sizable scope for minima that are Pareto-improving, benefiting low tax countries as well as high tax …

taxes on corporate income. We consider a number of tax systems which have been proposed, distinguishing them in two main … dimensions: the definition of what is to be taxed, and where it is to be taxed. We propose that a tax levied on economic rent …