Globalization and integration of markets gradually weaken not only the actual boundaries between states, but also tax limits. The growing interconnect-edness of national economies and markets causes tax competition, which may be advantageous for some states, but for others it may be a threat to undermine public budgets. While tax competition generally increases efficiency, it may also have undesirable consequences that may lead to a race to the bottom. Also, differences in the taxation of capital in different countries mean that there are capital shifts to the tax-favourable jurisdictions for the purpose of tax avoidance in the home country. The question therefore arises as to whether tax competition is not an obstacle to effective taxation of corporations, and whether and how governments should counter threats to undermine public finances. While some require mutual cooperation in the coordination and harmonization of direct taxation in the European Union, others argue that the most effective solution is market allocation and acceptance of tax competition. Opinion is divided over whether to maintain or remove tax competition and this leads to a discussion of whether it is really beneficial or harmful. The aim of the dissertation is to answer this question. The dissertation empirically evaluates the level of tax competition in the European Union and using panel analysis it verifies on a sample of 27 Member States over the period 1998 to 2010 that tax competition is not harmful, it does not lead to impoverished public budgets and to a race to the bottom in the EU-15. It also comes to the conclusion that the new EU-12 states do not cause harmful tax competition with the original EU-15 states. In connection with this the dissertation also focuses on the need to protect the tax bases of individual states. It deals with economic aspects of general and specific anti-abuse rules in national tax systems of the Member States and verifies why, in addition to general rules, states should implement specific measures in the form of CFC rules to defend themselves against tax evasion and tax avoidance.
| Identifer | oai:union.ndltd.org:nusl.cz/oai:invenio.nusl.cz:176920 |
| Date | January 2012 |
| Creators | Dvořáková, Veronika |
| Source Sets | Czech ETDs |
| Language | Czech |
| Detected Language | English |
| Type | info:eu-repo/semantics/doctoralThesis |
| Rights | info:eu-repo/semantics/restrictedAccess |
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