<abstract xmlns="http://www.w3.org/1999/xhtml"><p> The paper addresses the problems of corporate taxation in a globalized world. It first considers recent trends in international practices and then reviews the literature on the effects of corporate taxes in closed and open economies. The paper emphasizes the severity of the problems caused by current international tax rules. It compares various national and international policy alternatives and considers two recent Nordic tax reform proposals as examples of national-level solutions. The problems of current international corporate taxation are fundamental. Introducing increasingly tight antiavoidance measures could serve as a medium-term approach but does not provide any promising long-term solution. There should be more research concerning initiatives that would reform the fundamental principles of the international tax system.</p></abstract>

The paper addresses the problems of corporate taxation in a globalized world. It first considers recent trends in international practices and then reviews the literature on the effects of corporate taxes in closed and open economies. The paper emphasizes the severity of the problems caused by current international tax rules. It compares various national and international policy alternatives and considers two recent Nordic tax reform proposals as examples of national-level solutions. The problems of current international corporate taxation are fundamental. Introducing increasingly tight antiavoidance measures could serve as a medium-term approach but does not provide any promising long-term solution. There should be more research concerning initiatives that would reform the fundamental principles of the international tax system.

Corporate tax in an international environment – Problems and possible remedies

Associate Professor and Research Director, VATT Institute for Economic Research

Nordic Tax Journal

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

The paper addresses the problems of corporate taxation in a globalized world. It first considers recent trends in international practices and then reviews the...

Corporate tax in an international environment – Problems and possible remedies

Published Online: Sep 25, 2015

Page range: 1 - 16

Received: Aug 20, 2014

Accepted: Feb 15, 2015

DOI: https://doi.org/10.1515/ntaxj-2015-0001

Keywords
corporation tax, international taxation, multinational firms, tax avoidance

© 2015

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Corporate tax in an international environment – Problems and possible remedies

Published Online: Sep 25, 2015

Page range: 1 - 16

Received: Aug 20, 2014

Accepted: Feb 15, 2015

DOI: https://doi.org/10.1515/ntaxj-2015-0001

Keywordscorporation tax, international taxation, multinational firms, tax avoidance

© 2015

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 3.0 License.

Keywords
corporation tax, international taxation, multinational firms, tax avoidance