New Forms of Tax Competition: An Empirical Investigation


Authors: Eloi Flamant, Sarah Godar, and Gaspard Richard

This report provides an empirical analysis of tax competition between individuals and firms in the European Union. We find that tax competition increasingly takes the form of preferential or narrowly targeted tax regimes in addition to general rate reductions. We provide a ranking of the most harmful regimes targeting foreigners, primarily high-income or high-wealth individuals. We also discuss several options for dealing with these trends.