Effect of Different Corporate Income Tax Rates on Foreign Direct Investments within the European Union Single Market

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F47813059%3A19520%2F16%3A00010644" target="_blank" >RIV/47813059:19520/16:00010644 - isvavai.cz</a>

Výsledek na webu

<a href="http://dx.doi.org/10.1007/s11294-016-9571-2" target="_blank" >http://dx.doi.org/10.1007/s11294-016-9571-2</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.1007/s11294-016-9571-2" target="_blank" >10.1007/s11294-016-9571-2</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Effect of Different Corporate Income Tax Rates on Foreign Direct Investments within the European Union Single Market

Popis výsledku v původním jazyce

Reducing their statutory corporate income tax rates (SCITR), a number of countries try to attract foreign direct investment (FDI) as an important factor of economic growth in any country, which also applies to countries within the EU, where the differences amounting to SCITR give rise to tax competition. The introductory part of this article contains a summary of the main arguments for and against this tax competition, presented by two of different opinion emphasized groups of Economists.The advantage of SCITR is that these data are readily available, both over time and between countries. But SCITR in themselves, do not include the effects of different specifics of national tax laws, especially the methods of determining the tax base, but also providing various tax breaks for foreign investors. The more appropriate tax rates are ECITR, because they taken into account the differences between the theoretical concept of the net economic gains and the taxable income, which is actually taxed to companies under the tax law in the country. In this article are used ECITR, determined as a percentage of total annual revenues of corporate income tax in a given country to its GDP. Comparative analysis showed that the average value of the SCITR and ECITR indicators in EU13 and EU15 countries during the observed period is not directly linked with the development of FDI flows in these groups of countries. It concerns both the absolute values of the volume of these flows, as well as their ratios to GDP. From the results of the analysis therefore can not be conclude, that values differences of corporate tax rates in the groups of EU13 and EU15 countries raises tax competition, which negatively affects FDI flows within the EU single market.

Název v anglickém jazyce

Effect of Different Corporate Income Tax Rates on Foreign Direct Investments within the European Union Single Market

Popis výsledku anglicky

Reducing their statutory corporate income tax rates (SCITR), a number of countries try to attract foreign direct investment (FDI) as an important factor of economic growth in any country, which also applies to countries within the EU, where the differences amounting to SCITR give rise to tax competition. The introductory part of this article contains a summary of the main arguments for and against this tax competition, presented by two of different opinion emphasized groups of Economists.The advantage of SCITR is that these data are readily available, both over time and between countries. But SCITR in themselves, do not include the effects of different specifics of national tax laws, especially the methods of determining the tax base, but also providing various tax breaks for foreign investors. The more appropriate tax rates are ECITR, because they taken into account the differences between the theoretical concept of the net economic gains and the taxable income, which is actually taxed to companies under the tax law in the country. In this article are used ECITR, determined as a percentage of total annual revenues of corporate income tax in a given country to its GDP. Comparative analysis showed that the average value of the SCITR and ECITR indicators in EU13 and EU15 countries during the observed period is not directly linked with the development of FDI flows in these groups of countries. It concerns both the absolute values of the volume of these flows, as well as their ratios to GDP. From the results of the analysis therefore can not be conclude, that values differences of corporate tax rates in the groups of EU13 and EU15 countries raises tax competition, which negatively affects FDI flows within the EU single market.

Druh

J_ost - Ostatní články v recenzovaných periodicích

CEP obor

—

OECD FORD obor

50205 - Accounting

Projekt

—

Návaznosti

I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace

Rok uplatnění

2016

Kód důvěrnosti údajů

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

Název periodika

International Advances in Economic Research

ISSN

1083-0898

e-ISSN

—

Svazek periodika

22

Číslo periodika v rámci svazku

2

Stát vydavatele periodika

NL - Nizozemsko

Počet stran výsledku

2

Strana od-do

239-240

Kód UT WoS článku

—

EID výsledku v databázi Scopus

2-s2.0-84960378031