TY - JOUR
T1 - Do tax sparing agreements contribute to the attraction of FDI in developing countries?
AU - Celine, A.
AU - Desbordes, R.
AU - Mucchielli, J.
PY - 2007
Y1 - 2007
N2 - Measuring the effects of taxation on FDI in developing countries requires consideration of the tax sparing provision. This provision signed between developed and developing countries protects host country fiscal incentives for FDI. This paper estimates the impact of tax sparing provisions on Japanese outbound FDI between 1989 and 2000. We find evidence that the tax sparing provision influences positively the location of Japanese FDI, even after having taken into account reversal causality.
AB - Measuring the effects of taxation on FDI in developing countries requires consideration of the tax sparing provision. This provision signed between developed and developing countries protects host country fiscal incentives for FDI. This paper estimates the impact of tax sparing provisions on Japanese outbound FDI between 1989 and 2000. We find evidence that the tax sparing provision influences positively the location of Japanese FDI, even after having taken into account reversal causality.
KW - foreign direct investment
KW - tax sparing
KW - international taxation
KW - developing countries
UR - ftp://mse.univ-paris1.fr/pub/mse/cahiers2004/Bla04047.pdf
UR - http://dx.doi.org/10.1007/s10797-006-9005-9
U2 - 10.1007/s10797-006-9005-9
DO - 10.1007/s10797-006-9005-9
M3 - Article
SN - 0927-5940
VL - 14
SP - 543
EP - 562
JO - International Tax and Public Finance
JF - International Tax and Public Finance
IS - 5
ER -
