Is there regional tax competition? Firm Level Evidence for Belgium

This is the first Paper that looks at regional tax competition within one single country. In many countries in Europe, regions within a country differ substantially in their economic development and attractiveness to firms. Belgium is a typical example of a country where the economic situation of its three regions is very different. Our findings are indicative of regional tax competition, with a lower Effective Tax Rate (ETR) in the peripheral region of Wallonia than in Flanders. In addition to location variables, our empirical model explaining firm level heterogeneity in ETRs includes firm characteristics, sector membership and variables capturing statutory tax breaks.

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Document type	Article de périodique (Journal article)
Publication date	2005
Language	Anglais
Journal information	"De Economist" - Vol. 153, no. 3, p. 257-276 (2005)
Peer reviewed	yes
Publisher	Springer New York LLC (New York, USA)
issn	0013-063X
Publication status	Publié
Affiliations	UCL - EUEN/CORE - Center for operations research and econometrics Katholieke Universiteit Leuven - Faculteit Economie en Bedrijfswetenschappen Katholieke Universiteit Leuven - Faculteit Economie en Bedrijfswetenschappen UCL - ESPO/ECON - Département des sciences économiques
Keywords	Belgian firms ; Company accounts ; Effective tax rates
Links	https://doi.org/10.1007/s10645-005-1988-6[DOI] http://hdl.handle.net/2078.1/23166[Handle]

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See also
	[boreal:118728]	Is There Regional Tax Competition? Firm Level Evidence for Belgium