We examine which tax allocation system leads to more severe distortions with respect to locational investment decisions. We consider separate accounting (SA) and formula apportionment (FA). The effects of both systems have been hotly debated in Europe in the past years. The reason is that the EU...

Tax policy has always been a predominant element of national economic policies and a decisive tool in directing the actions of governments in the economic field. In the past decade, however, as an increasingly globalized economy has presented challenges, tax policy has gained new importance...

The tax burden in Austria is comparatively high, and the gap vis-à-vis the EU average has widened. The tax structure exhibits a number of specific features: taxes on labour are high, both from the employee's and the employer's side, following an upward trend and markedly exceeding the...

A key objective of a reform of the Austrian tax system should be the improvement of the tax structure. This includes a shift in the revenue composition away from certain tax bases (exoneration) towards other bases, implying their higher taxation. The latter should serve not only short-term...