Tax Competition and Tax Coordination in the European Union: A Survey
Series
WORKING PAPERS IN ECONOMICS AND FINANCE
Type
working paper
Date Issued
2014
Author(s)
Abstract
This survey summarizes the state and development of European tax policy, in particular discussing the harmonization progress in direct as well as indirect taxes. Based on an over-view over the theoretical and empirical literature on tax competition, we further ask whether increased tax coordination is necessary to prevent a race to the bottom. We show that theoretical predictions on the outcome of tax competition are ambiguous, and the empirical evidence in this regard is inconclusive as well. This, in turn, gives rise to an only limited scope of stronger tax harmonization.
Language
English
Keywords
Tax Competition
tax coordination
European economic integration
HSG Classification
contribution to scientific community
Refereed
No
Publisher
University of Salzburg
Publisher place
Salzburg
Subject(s)
Eprints ID
234833