Tax competition: "it's exactly like a trade war"
"It’s exactly like a trade war . . . We’ve never had any progress in multilateral tax agreements. But that’s really what we need right now. … We need a cease-fire.”Quite so. Brazilians talk of "guerra fiscal" - tax war - to describe the pernicious process that is going on within the Brazilian federation. Tax competition is always harmful, both to the world as a whole and to individual participants. As the UK's Independent newspaper reports this morning, citing TJN,
“tax competition” or “tax shopping”, as the practice is known, damages not only the budgets of nation states but also their efforts to persuade the people at large to pay their taxes."See more about why tax competition is so harmful, here.
The Washington Post article goes on to explore the concept of Unitary Taxation, where TJN appears to have exerted quite an influence, and is involved in key ongoing research.