This paper discusses tax policy measures to reduce corporate tax avoidance by extending taxation in the source country without imposing double taxation. We focus on four options: Bilaterally restricting interest and royalty deductibility, introducing an inverted tax credit system, levying...

NOTE: This paper is an unfinished work of William D. Andrews, who was the Eli Goldston Professor of Law at Harvard Law School and a premier tax scholar of his generation. This substantial but not fully completed manuscript was found among his papers after his death on May 20, 2017. It examines...

When companies finance their investment via the international markets for stocks and bonds, relief from domestic personal taxes on dividends and capital gains will not reduce the cost of capital. Some authors have shown that even for small domestic companies whose shares are not traded...