Bericht
Significant costs, limited benefits: A global minimum tax in Germany
In order to curb tax-motivated profit shifting and limit international tax competition, 137 signatory coun- tries to the Inclusive Framework on Base Erosion and Profit Shifting (BEPS) agreed in 2021 to introduce a global minimum tax on multinational corporations. At first glance, the introduction of the minimum tax would effectively limit international tax competition to a rate of 15%. However, this would require the global implementation of the scheme, as well as the harmonization of tax-base calculation methods. Ful- filment of these conditions is unrealistic, however, due to non-cooperative countries as well as current political tensions. In addition, high administrative and compliance costs would result. Our estimates show that the additional tax declaration costs for affected German corporations would amount to around 319 million euros for implementation and to around 100 million euros annually for ongoing compliance. In September 2022, the German government announced that, if necessary, Germany will unilaterally intro- duce the global minimum tax scheme. This is not advisable, however, since a unilateral move would not reduce tax-motivated profit shifting or international tax competition. At the same time, it would lead to high one-sided costs and a reduction in Germany's attractiveness as a location for business and invest- ment, while also generating little in the way of new revenues.
- Language
-
Englisch
- Bibliographic citation
-
Series: ZEW policy brief ; No. 7/2022e
- Classification
-
Wirtschaft
- Event
-
Geistige Schöpfung
- (who)
-
Gaul, Johannes
Klein, Daniel
Müller, Jessica M.
Pfrang, Alina
Schulz, Inga
Spengel, Christoph
Weck, Stefan
Wickel, Sophia
Winter, Sarah
- Event
-
Veröffentlichung
- (who)
-
ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
- (where)
-
Mannheim
- (when)
-
2022
- Handle
- Last update
-
10.03.2025, 11:45 AM CET
Data provider
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Bericht
Associated
- Gaul, Johannes
- Klein, Daniel
- Müller, Jessica M.
- Pfrang, Alina
- Schulz, Inga
- Spengel, Christoph
- Weck, Stefan
- Wickel, Sophia
- Winter, Sarah
- ZEW - Leibniz-Zentrum für Europäische Wirtschaftsforschung
Time of origin
- 2022
Other Objects (12)
Was taugen die OECD-Vorschläge zur weltweiten Reform der Unternehmensbesteuerung?
Effective marginal tax rates for US investors in Germany and Europe : an analysis of recent tax reforms in Germany
Kollektivversagen: Cum/Cum, Cum/Ex und Hopp!
Steuerliche Förderung von Forschung und Entwicklung in Deutschland – Handlungsbedarf und Reformoptionen
Inwieweit eignen sich die International Accounting Standards für die steuerliche Gewinnermittlung?
Steuerbetrug: Task Force: irreführender Begriff
Effektive Steuerbelastung der grenzüberschreitenden Geschäftstätigkeit nach den Vorschlägen zur Reform der Unternehmensbesteuerung
The EU proposal for country-by-country reporting on the internet: Costs, Benefits and Consequences
The Impact of ICT on Profit Allocation within Multinational Groups: Arm's Length Pricing or Formula Apportionment?
Nachtrag: Sollte die Unternehmensbesteuerung innerhalb der EU harmonisiert werden?
Book-tax conformity: Empirical evidence from Germany
Tax Harmonisation in Europe: The Determination of Corporate Taxable Income in the EU Member States
Was taugen die OECD-Vorschläge zur weltweiten Reform der Unternehmensbesteuerung?
Effective marginal tax rates for US investors in Germany and Europe : an analysis of recent tax reforms in Germany
Kollektivversagen: Cum/Cum, Cum/Ex und Hopp!
Steuerliche Förderung von Forschung und Entwicklung in Deutschland – Handlungsbedarf und Reformoptionen
Inwieweit eignen sich die International Accounting Standards für die steuerliche Gewinnermittlung?
Steuerbetrug: Task Force: irreführender Begriff
Effektive Steuerbelastung der grenzüberschreitenden Geschäftstätigkeit nach den Vorschlägen zur Reform der Unternehmensbesteuerung
The EU proposal for country-by-country reporting on the internet: Costs, Benefits and Consequences
The Impact of ICT on Profit Allocation within Multinational Groups: Arm's Length Pricing or Formula Apportionment?
Nachtrag: Sollte die Unternehmensbesteuerung innerhalb der EU harmonisiert werden?
Book-tax conformity: Empirical evidence from Germany
Tax Harmonisation in Europe: The Determination of Corporate Taxable Income in the EU Member States
Was taugen die OECD-Vorschläge zur weltweiten Reform der Unternehmensbesteuerung?
Effective marginal tax rates for US investors in Germany and Europe : an analysis of recent tax reforms in Germany
Kollektivversagen: Cum/Cum, Cum/Ex und Hopp!
Steuerliche Förderung von Forschung und Entwicklung in Deutschland – Handlungsbedarf und Reformoptionen
Inwieweit eignen sich die International Accounting Standards für die steuerliche Gewinnermittlung?
Steuerbetrug: Task Force: irreführender Begriff
Effektive Steuerbelastung der grenzüberschreitenden Geschäftstätigkeit nach den Vorschlägen zur Reform der Unternehmensbesteuerung
The EU proposal for country-by-country reporting on the internet: Costs, Benefits and Consequences
The Impact of ICT on Profit Allocation within Multinational Groups: Arm's Length Pricing or Formula Apportionment?
Nachtrag: Sollte die Unternehmensbesteuerung innerhalb der EU harmonisiert werden?
Book-tax conformity: Empirical evidence from Germany