Efficient taxation of multi-national enterprises in the European Union. Bruges European Economic Policy (BEEP) Briefing 5/2003

Current arrangements for multi-national company taxation in EU are plagued by severe conceptual and administrative problems, leading to high compliance costs, considerable uncertainty and ample room for abuse. Integration is amplifying these difficulties. There are two possible approaches in designing an efficient trans-border corporate tax system for the European Union. The first is to consolidate the EU-wide operations of MNEs, using an agreed common base as the reference variable, and then to apportion this total tax base using some presumptive indicators of activity in each tax jurisdiction – hence, implicitly, of the likely benefits stemming from each location. The apportionment formula should respect requisites of neutrality between productive factors and forms of corporate financing. A radically different approach is also available that offers considerable advantages in terms of efficiency, simplicity and decentralisation, including full administrative autonomy of national tax authorities. It entails abandoning corporate income as the relevant tax base and taxing at a moderate rate some agreed measure of business activity such as company value added, sales or employment. These are the variables usually considered in formula apportionment, but they would apply directly without having first to go through the complications of EU-wide consolidation based on a common-base definition. Reference to a broad base, with no exemptions or deductions, would allow to set low statutory rates.

Historical sketch of Mount Holyoke seminary. Founded at South Hadley, Mass., in 1837. Prepared in compliance with an invitation from the commissioner of education, representing the Department of the interior in matters relating to the national centennial of 1876.

Mode of access: Internet.

Test of vehicle seating reference using the SAE J826b H-point machine. Final report.

National Highway Traffic Safety Administration, Washington, D.C.

A computer program (VEHSIM) for vehicle fuel economy and performance simulation (automobiles and light trucks). Volume I: description and analysis. Final report.

National Highway Traffic Safety Administration, Office of Research and Development, Washington, D.C.

A computer program (VEHSIM) for vehicle fuel economy and performance simulation (automobiles and light trucks). Volume II: users guide. Final report.

National Highway Traffic Safety Administration, Office of Research and Development, Washington, D.C.

Improved commercial vehicle conspicuity and signalling systems. Task I: accident analysis and functional requirements. Interim report.

National Highway Traffic Safety Administration, Washington, D.C.

Improved commercial vehicle conspicuity and signalling systems. Task II: analyses, experiments and design recommendations. Interim report.

National Highway Traffic Safety Administration, Washington, D.C.

A review of the driver-vehicle effectiveness (DRIVEM) model. Final report.

National Highway Traffic Safety Administration, Washington, D.C.

Study to determine availability of parts at dealers during a recall campaign. Final report.

National Highway Traffic Safety Administration, Office of Defects Investigation, Washington, D.C.

The relationship between motor carrier economic regulation and highway safety.

Transportation Department, Office of the Assistant Secretary for Policy and International Affairs, Washington, D.C.

A computer program (VEHSIM) for vehicle fuel economy and performance simulation (automobiles and light trucks). Volume IV: enhancements. Final report.

National Highway Traffic Safety Administration, Office of Research and Development, Washington D.C.

1980 and 1979 Ford F-150 light truck weight and manufacturing cost analysis. Final report.

National Highway Traffic Safety Administration, Washington, D.C.

Workshop on Vehicle Ride Quality, Williamsburg, Virginia, August 13-15, 1975 : Summary report /

Includes bibliographies.

Program planning document highway vehicle alternative fuels utilization program (AFUP).

April 1978.

Research Safety Vehicle, RSV.

"March 1979."