International taxation and multinational firm location decisions

• 成果类型: Article
• 署名作者: Barrios, Salvador; Huizinga, Harry; Laeven, Luc; Nicodeme, Gaetan
• 署名单位: European Commission Joint Research Centre; Tilburg University; Tilburg University; Universite Libre de Bruxelles
• 刊物名称: JOURNAL OF PUBLIC ECONOMICS
• ISSN/ISSBN: 0047-2727
• DOI: 10.1016/j.jpubeco.2012.06.004
• 发表日期: 2012
• 页码: 946-958
• 关键词: Corporate taxation; Withholding taxes; Dividends; Location decisions; Foreign direct investment; multinationals

摘要

Using a large international firm-level data set, we examine the separate effects of host and additional 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. The impact of parent country taxation is estimated to be sizeable consistent with its international discriminatory nature. Our results show that international double taxation by the parent country - despite the general possibility of deferral of taxation until income repatriation - is instrumental in shaping the structure of multinational enterprise. (C) 2012 Elsevier B.V. All rights reserved.