Harmful Corporate Taxes
A new OECD working paper finds that corporate taxes are the most harmful to economic growth and productivity.
Empirical evidence in this new OECD working paper shows that lowering corporate tax rates can lead to particularly large productivity gains in all firms and thereby lead to higher GDP growth. Targeted tax exemptions, on the other hand, are generally less effective than cuts in tax rates.
Lower corporate taxes are also found to encourage inbound foreign direct investment, which also tends to increase productivity of resident firms.
Download OECD working paper (85 pages, PDF)
Download LI-Briefing on Corporate Taxation:
Deutsche Fassung (7 Seiten, PDF)
Version française (7 pages, PDF)