Base Erosion, Profit Shifting and Developing Countries / Ernesto Crivelli, Ruud A. Mooij, Michael Keen.

Format:

Book

Government document

Author/Creator:

Crivelli, Ernesto.

Contributor:

Keen, Michael.

Mooij, Ruud A.

Series:

IMF Working Papers; Working Paper ; No. 2015/118

IMF Working Papers

Language:

English

Subjects (All):

International business enterprises--Taxation--Law and legislation.

Transfer pricing--Taxation--Law and legislation.

Transfer pricing.

Local Subjects:

International business enterprises--Taxation--Law and legislation.

Transfer pricing--Taxation--Law and legislation.

Transfer pricing.

Physical Description:

1 online resource (56 p.)

Place of Publication:

Washington, D.C. : International Monetary Fund, 2015.

Language Note:

English

Summary:

International corporate tax issues are prominent in public debate, notably with the G20-OECD project addressing Base Erosion and Profit Shifting (‘BEPS’). But while there is considerable empirical evidence for advanced countries on the cross-country fiscal externalities at the heart of these issues, there is almost none for developing countries. This paper uses panel data for 173 countries over 33 years to explore their magnitude and nature, focusing particularly on developing countries and applying a new method to distinguish between spillover effects through real decisions and through avoidance —and quantify the revenue impact of the latter. The results suggest that spillover effects on the tax base are if anything a greater concern for developing countries than for advanced—and a significant one.

Contents:

Cover Page; Title Page; Copyright Page; Contents; Tables; Figures; Appendixes; Appendix Table; I. Introduction; 1. Revenue from the Corporate Income Tax, in Percent of Total Revenue; II. Methodology and Data; A. Theory; B. Specification and Estimation; C. Data; 1. Descriptive Statistics; 2. Corporate Income Tax Rates, 1980-2013; III. Results; A. Base Spillovers; 2. Base Spillovers with Alternative Weighting Matrices; 3. Base Spillovers by Income Level, 'Haven'-Weighted; 4. Base Spillovers in Developing Countries; 5. Including both GDP- and Haven-weighted Averages; B. The Revenue Cost of BEPS

6. Illustrative Revenue Loss CalculationsC. Strategic Rate Spillovers; 7. Strategic Rate Spillovers, Alternative Weighting Matrices; 8. Strategic Rate Spillovers by Income Level, Inverse-Distance Weighted; IV. Conclusions; 1. Country Listing and Classification; 2. Results Using Average Effective Tax Rates; 1. Base and Strategic Rate Spillovers, using AETR; References; Footnotes

Notes:

Description based upon print version of record.

Description based on print version record.

ISBN:

9781513570389

1513570382

9781513567624

1513567624