Transfer Pricing and Partial Tax Harmonization
23 Pages Posted: 6 Apr 2018
Date Written: February 12, 2018
This paper investigates regulation on corporate income taxation with multinationals and transfer pricing. We recommend full cooperation within the EU if profit shifting costs are sufficiently low and cannot be influenced to a large extend. Otherwise, high profit shifting costs or the potential to significantly influence them imply that partial cooperation is beneficial for all member states.
Keywords: tax harmonization, transfer pricing, multinational, profit shifting
JEL Classification: F210, H210, H260
Suggested Citation: Suggested Citation