Decomposing Multinational Corporations' Declining Effective Tax Rates

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216208%3A11230%2F22%3A10454643" target="_blank" >RIV/00216208:11230/22:10454643 - isvavai.cz</a>

Výsledek na webu

<a href="https://verso.is.cuni.cz/pub/verso.fpl?fname=obd_publikace_handle&handle=9jMXFs4X5X" target="_blank" >https://verso.is.cuni.cz/pub/verso.fpl?fname=obd_publikace_handle&handle=9jMXFs4X5X</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.1057/s41308-022-00157-9" target="_blank" >10.1057/s41308-022-00157-9</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Decomposing Multinational Corporations' Declining Effective Tax Rates

Popis výsledku v původním jazyce

We develop a methodology to decompose the observed decline in multinational corporations&apos; (MNCs&apos;) effective tax rates into several components and quantify the role of tax havens. We apply this methodology to the best available data for MNCs headquartered in the USA - from the Bureau of Economic Analysis - and in the EU - from Orbis - and we arrive at three main findings. First, we estimate that between 2005 and 2015 increased profits in tax havens directly explain only 29% and 1% of the 7% and 9% point declines in effective tax rates for US and EU MNCs, respectively. Second, we find that US MNCs have primarily benefited from domestic tax base reductions, most of which can be explained by sectoral changes, while the statutory rate has remained constant. Third, we show that EU MNCs have mainly benefited from falling domestic statutory rates and we observe similar patterns across EU home countries, host countries and sectors.

Název v anglickém jazyce

Decomposing Multinational Corporations' Declining Effective Tax Rates

Popis výsledku anglicky

We develop a methodology to decompose the observed decline in multinational corporations&apos; (MNCs&apos;) effective tax rates into several components and quantify the role of tax havens. We apply this methodology to the best available data for MNCs headquartered in the USA - from the Bureau of Economic Analysis - and in the EU - from Orbis - and we arrive at three main findings. First, we estimate that between 2005 and 2015 increased profits in tax havens directly explain only 29% and 1% of the 7% and 9% point declines in effective tax rates for US and EU MNCs, respectively. Second, we find that US MNCs have primarily benefited from domestic tax base reductions, most of which can be explained by sectoral changes, while the statutory rate has remained constant. Third, we show that EU MNCs have mainly benefited from falling domestic statutory rates and we observe similar patterns across EU home countries, host countries and sectors.

Druh

J_imp - Článek v periodiku v databázi Web of Science

CEP obor

—

OECD FORD obor

50201 - Economic Theory

Projekt

<a href="/cs/project/GM21-05547M" target="_blank" >GM21-05547M: Zdanění nadnárodních korporací v globalizovaném světě (CORPTAX)</a><br>

Návaznosti

P - Projekt vyzkumu a vyvoje financovany z verejnych zdroju (s odkazem do CEP)

Rok uplatnění

2022

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

IMF Economic Review

ISSN

2041-4161

e-ISSN

2041-417X

Svazek periodika

70

Číslo periodika v rámci svazku

2

Stát vydavatele periodika

GB - Spojené království Velké Británie a Severního Irska

Počet stran výsledku

44

Strana od-do

338-381

Kód UT WoS článku

000766138600001

EID výsledku v databázi Scopus

2-s2.0-85125927489