This paper takes stock of what is known about the efficacy of actual Value Added Tax (VAT) systems, nearly 100 years since the tax was conceived. Existing VAT systems fall short of the idealized version on many dimensions, some by design and others unintended. Actual VATs might therefore have...

This is a conceptual paper, the author discusses some fundamental assumptions regarding taxation. These assumptions need to be re-examined. The author has carried out a survey of fifty professionals in the field of tax administrations and based on discussions with them tried to identify the...

Under a worldwide tax system, firms pay taxes on their domestic income and repatriated foreign income, whereas under a territorial tax system repatriated foreign income is exempt from taxation. We examine whether worldwide tax systems reduce the incentives of multinational corporations to engage...

Self-employed individuals who operate through a business entity can often dictate how much employment tax they pay, if any. That’s because the rules permit them to control whether their earnings count as labor income – which is subject to employment tax – or the returns on any capital...

We investigate the effects of mandatory private Country-by-Country Reporting (CbCR) to European tax authorities on multinational firms' corporate real activities and organizational structures. We exploit the threshold-based application of this 2016 disclosure rule to conduct...

This paper looks into the investment behavior of multinational firms with respect to their locked-out foreign earnings. The focus is on multinational firms subject to credit and deferral home-country taxation such as that of the United States. “Locked-out earnings” refers to the earnings of...

In this article, I outline the latest version of the Shared Economic Growth package proposal and explain how it accomplishes all of its goals, with reference to some of the recent scholarly works that support it. I then walk through the derivation of the numbers to show that it really works,...

In this paper, we discuss the hypothetical impact of the Amount A regime on US corporate income tax revenue. The general outline of the two-pillar taxation system, which includes Amount A as a part of Pillar One, was agreed upon in October 2021 by the Inclusive Framework delegates who tackled...

Over 140 countries agreed on a fundamental global corporate tax reform in 2021. The new framework includes a consumer-location-based profit taxation (Pillar 1) and a global minimum tax rate of 15% (Pillar 2). Using high-frequency asset price movements around the main events of the reform's...