Since its creation, the EU has targeted tax harmonization to protect the single market and avoid capital outflow to regions that have lower tax rates. However, despite repeated attempts, complete convergence has not yet been achieved. Using the effective tax rate, the statutory tax rate, and the...

In this paper we present a computer-based model (so-called European Tax Analyzer) for the international computation and comparison of company tax burdens. The methodology follows the forward-looking concepts for the measurement of effective average tax rates (EATR) on the basis of a model-firm....