The effect of international income shifting on the link between real investment and corporate taxation

Marques, Mário; Pinho, Carlos; Montenegro, Tânia Menezes

doi:10.1016/j.intaccaudtax.2019.100268

Cited by 8 publications

(3 citation statements)

References 32 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Second, by analyzing the choice between centralized and decentralized production we contribute to the literature concerned with tax-induced distortions of investment. In line with the focus of our paper, Marques et al (2019) assess the extent to which real investment responsiveness to corporate taxation is affected by cross-border income shifting.…”

Section: Introductionmentioning

confidence: 94%

Real effects of an international tax reform for MNEs

2021

View full text Add to dashboard Cite

Section: Introductionmentioning

confidence: 94%

Real effects of an international tax reform for MNEs

2021

View full text Add to dashboard Cite

“…In the first case, Marques et al (2019) used a sample of foreign subsidiaries in Europe during the period 2001-2015 to study the relationship between the investment location decision issues affected by corporate taxes and companies shifting income to minimize their tax bills. This study evaluates the extent to which the real investment response to corporate taxes is influenced by cross-border income shifting.…”

Section: Literature Reviewmentioning

confidence: 99%

Income tax compliance behavior of businesses: The case of Vietnam

Thu

2024

10.5267/j.dsl

View full text Add to dashboard Cite

The socio-economic development of each country requires the contribution of businesses to social goals and the state budget. Improving tax compliance behavior is consistent with improving the ability of businesses to contribute to the budget. The objective of the study is to evaluate factors affecting tax compliance behavior for businesses. The study is conducted on 202 enterprises in Thai Nguyen, a locality located in the key economic region of Vietnam and with a high level of economic development. Through quantitative analysis of the research results, it found that: the system legislation and socio-economic conditions have the strongest influence on businesses' tax compliance behavior. However, the influence of business characteristics and tax authority characteristics on tax compliance behavior is lower.

show abstract

“…The growing importance of multinational corporations and FDI allocation have farreaching consequences for national tax policies [30]. Higher transnational capital mobility exerts a downward pressure on corporate tax rates [31]. In an effort to attract new investors and retain existing producers, governments use corporate tax rates as a policy tool for investment attraction, resulting in inter-state tax competition [29].…”

Section: Literature Reviewmentioning

confidence: 99%

Coordination vs. Competitiveness of Effective Average Tax Rates in Relation to FDI: The Case of Emerging EU Economies

et al. 2022

View full text Add to dashboard Cite

Due to the single market within the European Union (EU), capital mobility has created many challenges in the field of tax policy, especially whether taxes should be coordinated or governments should retain fiscal sovereignty for the sake of tax competitiveness. In order to attract foreign direct investment (FDI), emerging EU economies most often choose the policy of tax reduction and particularly lowering the effective average tax rates (EATR). The purpose of this paper is to empirically assess the impact of changes in the EATR on the decision to localize FDI in emerging EU economies in the period 1998–2021, in the framework of cross-sectional dependent, non-stationary, heterogeneous panels. Using the (Pooled) Mean Group estimator, the long-run relationship between the EATR and the FDI is revealed. The error-correction parameters are significant and heterogeneous, showing that the speed of adjustments towards equilibrium is different, but the highest in Estonia. Accession to the EU contributed faster adjustments to the long-run relationship in the majority of the emerging EU economies, while a broader set of potential determinants of FDI localization is taken into consideration and estimated using the Panel-corrected standard error method. Results showed de facto tax competitiveness in the group of emerging EU economies, instead of de jure tax coordination in the EU.

show abstract

The effect of international income shifting on the link between real investment and corporate taxation

Cited by 8 publications

References 32 publications

Real effects of an international tax reform for MNEs

Real effects of an international tax reform for MNEs

Income tax compliance behavior of businesses: The case of Vietnam

Coordination vs. Competitiveness of Effective Average Tax Rates in Relation to FDI: The Case of Emerging EU Economies

Contact Info

Product

Resources

About