The excess profits during COVID-19 and their tax revenue potential
The result's identifiers
Result code in IS VaVaI
<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216208%3A11230%2F24%3A10491031" target="_blank" >RIV/00216208:11230/24:10491031 - isvavai.cz</a>
Result on the web
<a href="https://verso.is.cuni.cz/pub/verso.fpl?fname=obd_publikace_handle&handle=DG03~R21kG" target="_blank" >https://verso.is.cuni.cz/pub/verso.fpl?fname=obd_publikace_handle&handle=DG03~R21kG</a>
DOI - Digital Object Identifier
<a href="http://dx.doi.org/10.1007/s10663-024-09630-2" target="_blank" >10.1007/s10663-024-09630-2</a>
Alternative languages
Result language
angličtina
Original language name
The excess profits during COVID-19 and their tax revenue potential
Original language description
The COVID-19 pandemic affected most companies' profits negatively, but some companies did exceptionally well, recording excess profits during the pandemic. In this paper, we estimate the scale of the excess profits and the tax revenue potential of an excess profits tax, an additional tax levied by governments on companies' excess profits. To estimate excess profits, we develop a trend-adjusted average earnings methodology. We apply the methodology to firm-level consolidated Orbis data to estimate that large multinational corporations with subsidiaries in the EU generated excess profits of $447 billion in 2020 (42% of their total profits in 2020). Using country-by-country reporting data, we estimate the excess profits arising from each EU member state and find that EU member states could together raise $6 billion with an excess profits tax of 10%.
Czech name
—
Czech description
—
Classification
Type
J<sub>imp</sub> - Article in a specialist periodical, which is included in the Web of Science database
CEP classification
—
OECD FORD branch
50201 - Economic Theory
Result continuities
Project
<a href="/en/project/GM21-05547M" target="_blank" >GM21-05547M: Taxing multinational corporations in the globalised world (CORPTAX)</a><br>
Continuities
P - Projekt vyzkumu a vyvoje financovany z verejnych zdroju (s odkazem do CEP)
Others
Publication year
2024
Confidentiality
S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů
Data specific for result type
Name of the periodical
Empirica
ISSN
0340-8744
e-ISSN
1573-6911
Volume of the periodical
51
Issue of the periodical within the volume
4
Country of publishing house
DE - GERMANY
Number of pages
36
Pages from-to
1001-1036
UT code for WoS article
001325680400001
EID of the result in the Scopus database
2-s2.0-85205544133