Taxing Multinationals in Europe
May 25, 2021
Download PDF
More Formats on IMF eLibrary
Order a Print CopyDisclaimer: The views expressed herein are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.
Summary
This paper aims to contribute to the European policy debate on corporate income tax reform in three ways. First, it takes a step back to review the performance of the CIT in Europe over the past several decades and the important role played by MNEs in European economies. Second, it analyses corporate tax spillovers in Europe with a focus on the channels and magnitudes of both profit shifting and CIT competition. Third, the paper examines the progress made in European CIT coordination and discusses reforms to strengthen the harmonization of corporate tax policies, in order to effectively reduce both tax competition and profit shifting.
Subject: Competition, Corporate income tax, Corporate taxes, Financial markets, Formula apportionment, Revenue administration, Tax policy, Taxes
Keywords: Competition, Corporate income tax, Corporate profits, Corporate taxation, Corporate taxes, effects of the CCCTB reform, EU code of conduct, Europe, Formula apportionment, Global, International taxation, MNE profits, Multinational corporations, profit shifting, revenue effect, Tax competition
Pages:
60
Volume:
2021
DOI:
Issue:
012
Series:
Departmental Paper No 2021/012
Stock No:
TMNIEEA
ISBN:
9781513570761
ISSN:
2616-5333
