FDI Implications of Recent European Court of Justice Decision on Corporation Tax Matters

FDI Implications of Recent European Court of Justice
Decisions on Corporation Tax Matters

Frank Barry
Trinity College Dublin
and

Rosemary Healy-Rae
Barrister-at-Law

November 2008

Abstract

Corporation tax rates significantly influence the location of foreign direct investment
(FDI) as well as company decisions on corporate borrowing, transfer pricing,
dividend and royalty payments, and research and development. While direct taxation
remains within the competence of individual EU member states, the European Court
of Justice (ECJ) has faced an increasing number of corporation-tax-related cases over
recent years and its judgements have significantly redrawn the European tax
landscape. The present paper reviews and synthesises these ECJ decisions and
analyses their implications for the FDI decisions of Multinational Corporations.

Corresponding author: [email protected]

<<   1   2   3   4   5   6   >>

More intriguing information