Corporate Tax Harmonization in the European Union

AbstractEU law demands that the allocation of factors and goods within the European Union shall not be distorted by taxes. Efforts to formally harmonize corporate tax regimes in Europe have, however, stalled in recent years. What is more, the source principle has prevailed over residence based taxation which is seen to be more in line with EU law. Tax induced distortions of cross-border investment decisions are supposed to be the consequence. Based on country-specific effective average tax rates from 1998 to 2009, this article shows that there is, however, non-coordinated convergence of tax burdens within the EU. Thus, distortions of cross-border investment decisions are limited and decreasing even without formal harmonization.

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Tax harmonization in the European Union and the eurozone: a multilateral analysis of tax systems

Financial Theory and Practice ◽

10.3326/fintp.40.4.4 ◽

2016 ◽

Vol 40 (4) ◽

pp. 437-461

Author(s):

Sonja Engeli Pippin ◽

Mehmet Serkan Tosun

Keyword(s):

European Union ◽

The European Union ◽

Tax Harmonization ◽

Tax Systems

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Tax competition and tax harmonization in the European Union

Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis ◽

10.11118/actaun200452060135 ◽

2004 ◽

Vol 52 (6) ◽

pp. 135-144 ◽

Cited By ~ 1

Author(s):

Danuše Nerudová

Keyword(s):

European Union ◽

Tax Competition ◽

Tax Rates ◽

The European Union ◽

Indirect Taxation ◽

Tax Base ◽

Direct Taxation ◽

Administrative Costs ◽

Tax Harmonization

The article deals with the problems of tax competition and harmonization within the European Union. It reveals the single difficulties connected with harmonization, identifies the problems arising from tax competition and points out the harmful tax competition as well. Single compulsory harmonized tax base in connection with prevailing tax competition in the area of tax rates is the suggested solution in the scope of direct taxation. As the solution in the area of indirect taxation could serve the introduction of “principle of origin”. This would cause remarkable administrative costs decrease not only for economic subjects but for tax authorities as well.

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The Evolution of Tax Harmonization in the European Union

Corporate Income Tax Harmonization in the European Union ◽

10.1057/9781137000910.0007 ◽

2014 ◽

Keyword(s):

European Union ◽

The European Union ◽

Tax Harmonization

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Correlation between misinvoicing and non-tariff measures for Turkey's exports to the EU

Acta Oeconomica ◽

10.1556/032.2021.00016 ◽

2021 ◽

Vol 71 (2) ◽

pp. 327-346

Author(s):

Ayşegül Karataş ◽

Halil Şimdi ◽

Büşra Garip

Keyword(s):

European Union ◽

Method Of Moments ◽

Tax Evasion ◽

Generalized Method Of Moments ◽

Negative Relationship ◽

The European Union ◽

Corporate Tax ◽

Price Manipulation ◽

The Impact ◽

The Eu

AbstractMany researchers have analysed the factors that cause discrepancies in the mirror trade statistics. However, the conflicting findings of the relatively limited number of studies on the relation between non-tariff measures and misinvoicing make further research in this area necessary. Therefore, our paper aimed to analyse the impact of non-tariff measures on misinvoicing in the context of Turkey's exports to the European Union (EU) between 2008 and 2015. This study tested the possible relationship between them using other measurable variables related to Turkey's exports to the EU of the products to which the non-tariff measures were applied. This has been done by employing the dynamic generalized method of moments (GMM) as well as the quantile regression (QR) models. It was observed that tariffs, along with non-tariff measures, have negative relationship with the misinvoiced amount. Additionally, it is also observed that the transfer price manipulation appears to be a means of corporate tax evasion. This finding aligns with the decrease in reported imports and the decrease in the perceived levels of corruption.

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