Review:
Taxation Of Multinational Corporations
overall review score: 4.2
⭐⭐⭐⭐⭐
score is between 0 and 5
Taxation of multinational corporations refers to the set of rules and regulations governing how international companies are taxed on their profits earned across multiple countries.
Key Features
- Transfer pricing
- Double taxation relief
- Tax havens
- Base erosion and profit shifting (BEPS)
Pros
- Helps ensure fair contribution to the tax system by large corporations
- Prevents tax evasion and profit shifting to low-tax jurisdictions
- Can generate substantial revenue for governments
Cons
- Complexity and difficulty in enforcement
- Potential for loopholes and tax avoidance strategies
- Challenges in achieving international cooperation and standardization