An Examination into the Role of Taxation in FDI Inflows and Stock in High, Middle and Low Income Countries
Journal Title: FOCUS: Journal of International Business - Year 2018, Vol 5, Issue 1
Abstract
Many countries of the world are redesigning their taxation policies to offer a conducive tax environment to the MNCs so as to increase the level of FDI in the country. Through changes in taxation policy, they intend to become more competitive internationally. Tax laws of all the countries are not same, they are different in terms of corporate tax rates, withholding tax rates, exemption, expenses, meaning of income and tax incentives. As tax laws are different in most of the countries, they create problem for the multinationals in deciding which location of FDI is to be chosen to maximize their profits. The objective of this study is to examine the impact of tax environment on the FDI inflows and stock into countries with different income levels. The results show that tax environment is not significant for all countries and differs for high, middle and low income countries
Authors and Affiliations
Neha .
Keywords
Related Articles
- EP ID EP625011
- DOI 10.17492/focus.v5i01.13141
- Views 177
- Downloads 0
Allocative Inefficiency of Special Drawing Rights (SDRs): Issues and Challenges of International Political Economy
When the global monetary system faced the problem of inadequate supply of gold reserves, it led to the emergence of new paper gold in the form of Special Drawing Rights (SDRs). SDRs are used by member nations of IMF for...
Blue Ocean Strategy: A Review of Literature
The market dynamics are changing abruptly due to the integration of technology and other macroeconomic factors into business. The organization which is considered as a market leader may also be investing enormous funds t...
Do Institutional Variables affect FDI inflows? A Panel Data Analysis of South Asian Countries
The study addresses several questions related to the effect of institutional variables on foreign direct investment inflows in South Asian countries consisting of Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal,...
Foreign Institutional Investment and Economic Growth: A Case Study of Indian Economy
A major feature of economic reforms in India since 1991 has been a progressive liberalisation of external capital flows, especially non debt creating ones like Foreign Direct investment (FDI) and Foreign Institutional In...
Trade Openness, FDI, and Economic Growth: Evidence from India and China
In the era of globalisation, economic growth is considered as the most viable approach to achieve socio-economic development goals in developing economies. Consequently, the proponents of globalisation are vigorously ad...