We examine the capital market reaction to the announcement of the European Union (EU) to introduce a public tax country … indicate that the market reaction is stronger for firms operating in industries with high growth in market participants …

a European internal market. Our analysis is based on effective tax burdens using the Devereux/Griffith methodology …-country differences in effective tax burdens and hence distortions to the internal market might persist. We conclude that a comprehensive …

and innovative corporations decreased by at least 52 billion euro in excess of the regular market movement during the … potentially affected corporations surrounding the draft directives' release, we find a significant abnormal capital market … avoidance, have a higher profit shifting potential, and for those with higher exposure to the EU. The market value of digital …

, with the aim of promoting a level playing field for businesses operating within the EU Single Market. The directive seeks …

profits above the market interest rate). In contrast to the prevailing approaches for calculating EATR based on separate and …