Corporate Tax Shelters in a Global Economy: Why they are a by Daniels N. Shaviro

By Daniels N. Shaviro

This quantity explores the motives and prices of tax avoidance and offers an invaluable consultant to the foremost conceptual matters that has to be addressed which will layout a very potent tax reform.

Show description

Read Online or Download Corporate Tax Shelters in a Global Economy: Why they are a Problem and What We Can do About it (AEI Studies on Tax Reform) PDF

Similar economic policy books

The Strange Non-death of Neo-liberalism

Winner of the Friedrich Ebert Stiftung prize

The monetary challenge looked as if it would current a basic problem to neo-liberalism, the physique of principles that experience constituted the political orthodoxy of so much complex economies in contemporary many years. Colin Crouch argues during this e-book that it'll shrug off this problem. the reason being that whereas neo-liberalism seems approximately unfastened markets, in perform it truly is all in favour of the dominance over public lifetime of the enormous company. This has been intensified, now not checked, via the hot monetary main issue and reputation that sure monetary businesses are ‘too giant to fail'. even if a lot political debate is still preoccupied with conflicts among the marketplace and the nation, the influence of the company on either those is this present day way more important.

Several components have introduced us to this situation:
• most manifestly, the lobbying strength of businesses whose donations are of starting to be significance to cash-hungry politicians and parties;
• The weakening of aggressive forces by way of businesses sufficiently big to form and dominate their markets;
• the facility over public coverage exercised via enterprises having fun with specified relationships with govt as they agreement to carry public services;
• the ethical initiative that's grasped by means of corporations that devise their very own agendas of company social responsibility.

Both democratic politics and the unfastened industry are weakened by means of those techniques, yet they're principally inevitable and never constantly malign. wish for the longer term, accordingly, can't lie in suppressing them with a purpose to reach both an economic system of natural markets or a socialist society. quite it lies in dragging the enormous company absolutely into political controversy. the following a key function is performed via the small, cash-strapped campaigning teams who, with valuable little support from validated events, search to accomplish company social accountability.

Competing Schools of Economic Thought

The best works of economists have the capability to supply insights on present financial advancements and coverage demanding situations lengthy when they are written. This booklet seeks to enquire the evolution of the middle rules and coverage thoughts of the foremost colleges of financial concept, and to provide and severely evaluation these theories that experience survived over the years and will tell us approximately present advancements and monetary guidelines.

The Pursuit of Happiness: An Economy of Well-Being (Brookings Focus)

Within the Pursuit of Happiness, the newest addition to the Brookings concentration sequence, Carol Graham explores what we all know concerning the determinants of happiness, throughout and inside of international locations at various levels of improvement. She then takes a glance at simply what we will do with that new wisdom and obviously offers either the promise and the capability pitfalls of injecting the "economics of happiness" into public policymaking.

Extra info for Corporate Tax Shelters in a Global Economy: Why they are a Problem and What We Can do About it (AEI Studies on Tax Reform)

Sample text

A little background may help in elucidating this question. We can start with positions that really are arbitrages in the finance sense. MORE REVENUES, LESS DISTORTION? 37 Within finance, arbitrage is certainly not a dirty word. It is simply something that is impossible at equilibrium and the impossibility of which helps to keep financial markets functioning efficiently. In tax policy, however, arbitrage is something of a dirty word because, in the formalistic and realization-based system we have, it can result in a catastrophic breakdown of the system.

Denying them all deductions and other cost recovery would have two compelling advantages. First, it would (by express hypothesis) directly increase efficiency and equity. Second, if the gross sales receipts tax on supermarkets raised revenue (despite any possible Laffer curve effect) and the government had fixed revenue goals, then adoption of this tax would reduce the need to induce further economic distortion by levying higher taxes in some other setting. Assuming for now that other countries do not address crossborder tax arbitrages, this seemingly absurd hypothetical offers a compelling way to look at DRCs and double-dip leases.

What is more, the inquiry into whether semantic “arbitrage” exists in a given case may be quite unilluminating. Suppose, for example, that the United Kingdom had the same corporate residence rule as the United States but offered tax benefits to foreign corporations with local headquarters. If the end result were the 40 CORPORATE TAX SHELTERS IN A GLOBAL ECONOMY same as that from being able to claim double deductions by exploiting inconsistent corporate residence rules, it should not matter whether we still regarded this as involving an “arbitrage” between inconsistent applications of the same tax concept.

Download PDF sample

Rated 4.28 of 5 – based on 38 votes