Why Data Giants Don't Pay Enough Tax

Diniz Magalhães, Tarcísio; Christians, Allison

doi:10.2139/ssrn.4342650

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Why Data Giants Don't Pay Enough Tax

Harvard Law & Policy Review, Forthcoming

56 Pages Posted: 31 Jan 2023 Last revised: 23 Mar 2023

See all articles by Tarcísio Diniz Magalhães

Allison Christians

McGill University - Faculty of Law

Date Written: January 30, 2023

Abstract

Data giants are often in the headlines for failing to pay enough taxes, both in the United States and around the world. Since most of the world’s data giants originate in the United States but earn profits by operating across borders, are there legal constraints on when and how much the United States and other countries can tax them? This paper examines a large-scale cross-country tax reform initiative that is testing the limits.

Keywords: Global minimum tax; public international law; sovereignty; soft law; international customs; legal principles; corporate law; multinational enterprises; legal principles; tax policy

JEL Classification: F23; F53; F55; H25; H26; H87; K33; K34

Suggested Citation: Suggested Citation

Diniz Magalhães, Tarcísio and Christians, Allison, Why Data Giants Don't Pay Enough Tax (January 30, 2023). Harvard Law & Policy Review, Forthcoming, Available at SSRN: https://ssrn.com/abstract=4342650 or http://dx.doi.org/10.2139/ssrn.4342650