Even before the pandemic, an ageing population, a potential over-reliance on corporation tax receipts and an inevitable decline in motor tax revenues combined to make the need for future tax rises likely. This paper examines a range of options that a government seeking to raise or replace tax...

An initiative is needed to break the logjam in the international negotiations to reform taxation of multinational enterprises (MNEs). The explosion of profit shifting observed since the 1990s has resulted in hundreds of billions of dollars of tax revenues being lost around the world each year -...

CORTAX is a macroeconomic model that focuses on corporate taxation and is used extensively for European Commission policy assessments. As a macroeconomic model, it simulates variables such as GDP, investment and employment, while being especially notable for its focus on corporate income...

Das Papier gibt einen Überblick über den ökonomischen Befund und die steuerpolitischen Empfehlungen des Ruding Komitees zur Körperschaftsbesteuerung im Europäischen Binnenmarkt. Die Beurteilung der Ausgangssituation durch das Ruding Komitee wird alternativen Sichtweisen und eigenen Analysen...

It is desirable to reduce the number of "artificial" merger and acquisitions (MA) designed to escape from high tax jurisdictions, without discouraging domestic firms from growing into highly productive multinational corporations. This paper studies the effect of corporate taxes on the...

In this paper we evaluate an indivisible investment project that is carried out in a corporation under very simple premises. In particular, we discuss a one-period model with certainty, the pure domestic case and proportional tax rates. Surprisingly, the decision problem turns out to be rather...

Using simple benchmark models, this paper gives an introductory analysis of three separate policy issues that relate to the taxation of multinational firms: (i) the spread of tax measures that provide discriminatory tax relief to multinational firms; (ii) the switch from the current separate...

An important puzzle in corporate taxation is that effective tax rates have fallen significantly while tax revenue has simultaneously risen in most countries. Moreover, the gross profitability of firms seems to be lower in high-tax countries, even though standard models of international...