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on Accounting and Auditing |
| By: | Javier Garcia-Bernardo (Charles University, Utrecht University); Petr Janský (Charles University); Gabriel Zucman (Paris School of Economics, Berkeley) |
| Abstract: | The 2017 Tax Cut and Jobs Act lowered the US corporate tax rate and introduced provisions to curb profit shifting. We combine survey data, tax data, and firm financial statements to study the evolution of the geographical allocation of US firms’ profits after the reform. Between 2017 and 2020, the share of profits booked abroad declined by 1–5 percentage points, in part related to repatriations of intellectual property to the US. However, the share of foreign profits booked in tax havens remained stable at around 50%. While aggregated changes in profit allocation are small, a number of firms responded strongly. |
| Keywords: | Multinational corporation; corporate taxation; profit shifting; effective tax rate; country-by-country reporting; Tax Cuts and Jobs Act |
| JEL: | F23 H25 H26 H32 |
| Date: | 2025–12 |
| URL: | https://d.repec.org/n?u=RePEc:dbp:wpaper:042 |
| By: | Eichfelder, Sebastian; Nguyen, Hang T. T. |
| Abstract: | This study examines the interplay between corporate tax avoidance and the incidence of the corporate income tax falling on wages and employment. Using the German Business Tax Reform 2008 (GBTR 2008) as a natural experiment, we investigate how a large tax cut of about nine percentage points affected wages and the number of employees of low-avoidance firms compared with high-avoidance firms. We expect an abnormal wage response of low-avoidance firms that are more burdened by corporate taxation and benefitted more from the tax cut. In difference-in-differences and triple-difference regressions, we do not find significant evidence for an abnormal wage response of low-avoidance firms. A potential explanation might be strong labour protection regulations in Germany that might limit the ability of German firms to shift corporate taxes on labour. We find some but not very robust evidence for an abnormal increase in employment of low-avoidance firms after the GBTR 2008. Our findings align with recent evidence that German employees bear only a small fraction of German corporate taxation and that this burden primarily falls on employees of very small firms that are only poorly represented in our Amadeus data. |
| Keywords: | Tax Incidence, Corporate Income Tax, Tax Avoidance, Employment Effects, Wage Effects |
| JEL: | E24 H22 H25 J30 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:arqudp:335021 |
| By: | Julei Iuliana (Université Babeş-Bolyai de Cluj-Napoca) |
| Abstract: | This paper provides a review of the existing literature on the accounting profession and its response to uncertainty, risk, and responsibilities. The study adopts a bibliometric and systematic approach, based on a sample of 104 articles published between 2016 and 2025 in the Web of Science database. The analysis sheds light on the dynamics of the accounting profession, highlighting its growing role in risk management and strategic decision-making. The results also reveal significant gaps in the literature, particularly regarding risk culture and professional responsibilities, paving the way for future interdisciplinary research. |
| Keywords: | risk culture, responsibilities, risk, uncertainty, accounting profession, accounting profession uncertainty risk responsibilities risk culture |
| Date: | 2025–11–20 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05455624 |
| By: | Holtmann, Svea; Braun, Anna-Sophie; Cho, Jae; Koch, Reinald; Langenmayr, Dominika |
| Abstract: | We study a 2018 reform in South Korea that reduced tax credits for automation investments. This reform increased the tax cost of investing in robots and thus resembles a robot tax. Exploiting this natural experiment with industry-level data on robot installations and firm-level data from Orbis, we document a sharp decline in automation investments after the reform in industries with a large share of affected firms. At the firm level, we find that affected firms increased employment, consistent with the notion that robots replaced workers. The effects are heterogeneous: financially constrained firms cut investment overall, while unconstrained firms substituted away from robots, hired more workers, and reallocated resources toward more productive uses. For the latter group, we find improvements in various measures of investment quality, suggesting that the tax credit induced inefficient overinvestment in automation. Our evidence informs ongoing debates on robot taxation and the efficiency of tax incentives. |
| Keywords: | tax credits, automation, robot tax |
| JEL: | H25 H32 O33 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:arqudp:335022 |
| By: | , Gaurav; Ayarekar, Sachin; Kadam, Suresh |
| Abstract: | This white paper presents a clause-level comparative legal and regulatory analysis of India’s Digital Personal Data Protection Act (DPDP Act, 2023) and the European Union’s General Data Protection Regulation (GDPR), with specific emphasis on implications for FinTech governance and compliance automation. As India transitions toward a unified personal data protection regime, FinTech firms operating in high-velocity, data-intensive environments face significant challenges related to consent management, purpose limitation, data subject rights, cross-border data transfers, breach notification, and accountability obligations. Using a doctrinal legal research approach combined with comparative clause mapping, this study systematically evaluates areas of convergence and divergence between the DPDP Act and the GDPR across key compliance domains. Building on these findings, the paper proposes a RegTech-enabled audit automation framework designed to translate legal requirements into machine-readable compliance controls, enabling continuous monitoring, risk classification, and governance reporting for FinTech institutions. The white paper contributes to emerging discussions on data protection governance by offering a practical compliance lens for regulators, FinTech firms, auditors, and RegTech solution designers, while also serving as a foundational working paper for future empirical and journal-based research. |
| Date: | 2026–01–12 |
| URL: | https://d.repec.org/n?u=RePEc:osf:lawarc:r7ydq_v1 |
| By: | Christl, Michael; Berdeal, Silvia Navarro |
| Abstract: | This paper assesses the fiscal and distributional effects of personal income tax expenditures in Portugal using EUROMOD and 2022 EU-SILC microdata. We compare the 2023 tax-benefit system with a counterfactual scenario in which tax expenditures are removed to estimate first-round impacts. We find that tax expenditures account for almost 40% of personal income tax revenues and predominantly benefit middle- and higher-income households, with large variation in redistributive effectiveness across instruments. While the Net Minimum Income Guarantee is progressive and cost-efficient in reducing inequality, most work- and pensionrelated allowances deliver limited equity gains, suggesting scope for reform. |
| Keywords: | Tax expenditures, EUROMOD, Income redistribution, Microsimulation, Fiscal policy, Cost-efficiency |
| JEL: | H24 H22 I38 |
| Date: | 2026 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:glodps:1705 |