NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

How Would EU Corporate Tax Reform Affect US Investment in Europe?

Michael P. Devereux, Simon Loretz

NBER Working Paper No. 17576
Issued in November 2011
NBER Program(s):   PE

This paper examines the likely impact of a proposed formula apportionment system for corporation tax in the EU on the inbound investment of US multinational companies. We pay attention to tax planning strategies that may be employed by US multinationals and investigate whether effective tax rates in Europe of US companies differ from those of European companies. The proposal is for an optional system: we estimate the extent to which both European and US companies would be likely to choose it taking into account their existing structures and future investment incentives. The relative position of US and European companies depends crucially on the taxation of foreign passive income.

You may purchase this paper on-line in .pdf format from SSRN.com ($5) for electronic delivery.

Information about Free Papers

You should expect a free download if you are a subscriber, a corporate associate of the NBER, a journalist, an employee of the U.S. federal government with a ".GOV" domain name, or a resident of nearly any developing country or transition economy.

If you usually get free papers at work/university but do not at home, you can either connect to your work VPN or proxy (if any) or elect to have a link to the paper emailed to your work email address below. The email address must be connected to a subscribing college, university, or other subscribing institution. Gmail and other free email addresses will not have access.

E-mail:

Machine-readable bibliographic record - MARC, RIS, BibTeX

Document Object Identifier (DOI): 10.3386/w17576

Published: How Would EU Corporate Tax Reform Affect US Investment in Europe?, Michael P. Devereux, Simon Loretz. in Tax Policy and the Economy, Volume 26, Brown. 2012

Users who downloaded this paper also downloaded these:
Markle and Shackelford w16839 Cross-Country Comparisons of Corporate Income Taxes
Auerbach, Devereux, and Simpson w14494 Taxing Corporate Income
Maydew and Shackelford w11504 The Changing Role of Auditors in Corporate Tax Planning
Desai, Foley, and Hines w17202 Tax Policy and the Efficiency of U.S. Direct Investment Abroad
Djankov, Ganser, McLiesh, Ramalho, and Shleifer w13756 The Effect of Corporate Taxes on Investment and Entrepreneurship
 
Publications
Activities
Meetings
NBER Videos
Data
People
About

Support
National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us