The report examines the tax structure as one important aspect of the multi-faceted concept of the quality of taxation and discusses elements of a "good" tax system. Applying an indicator based approach, it analyses three types of challenges that euro-area Member States are currently facing in th...
The financial and economic crisis resulted in severe challenges for public finances in many EU Member States. Tax revenue, which had been boosted during the boom years by tax-rich growth and rising asset prices, plummeted as a consequence of the automatic stabilisers inherent in the tax system, ...
Environmental taxes are key instruments for achieving sustainability in the economy. By increasing the prices of environmentally harmful goods in relation to other goods, they encourage consumers to shift their consumption patterns in a more sustainable direction. Environmental taxes may also in...
This paper reviews the experiences of Belgium and Italy with ACE-type systems of corporate taxation. The comparison focusses on the definition of the base for the computation of the allowance and the anti-avoidance framework to tackle abuses. It is argued that the Italian system, with its increm...
The Capital Markets Union project (CMU) aims to strengthen the single market by deepening the integration of investment across the European Union. Improved access to finance is a key component of this project, in particular for start-ups, small- and medium-sized enterprises (SMEs), and young com...
The aim of this study is to evaluate the impact of the introduction of the CCTB draft Council directive from October 2016 on the effective corporate tax burdens in the 28 EU Member States and to assess the relative importance of single elements of the harmonised tax base. Furthermore, the impact...
EU businesses underinvest in R&D which is a driver of economic growth and productivity. While the world is becoming more R&D-intensive, the relative weight of the EU is decreasing, mainly due to the rapid rise of China. Taxation has been increasingly used to stimulate investment in R&D. A recent...
Using a large international firm-level data set, we estimate separate effects of host and parent country taxation on the location decisions of multinational firms. Both types of taxation are estimated to have a negative impact on the location of new foreign subsidiaries. In fact, the impact of p...
The current system for financing cross-border students, based on the host country, is neither sustainable nor efficient: it produces too little cross-border education. On that background, and motivated as well by a recent decision of the European Court of Justice, we explore two alternative solu...