Replication dataset for "Effective corporate income taxation and its effect on capital accumulation: Cross-country evidence"

Abstract It is debated to what extent corporate taxation discourages capital formation, and the related empirical cross-country evidence is inconclusive. This paper provides new insights into this matter for a large sample of developed and developing countries. In a first step, national accounts data is used to calculate backward-looking effective corporate income tax rates (ECTR) for 77 countries during 1995–2018. In a second step, dynamic panel data regressions are used to estimate the effect of ECTR on aggregate corporate investment. The main findings of this exercise are that (i) statutory corporate income tax rates (SCTR), on average, are twice as high as ECTR, (ii) average ECTR have been relatively stable but show distinct dynamics across countries, and (iii) no significant negative relationship exists between ECTR and aggregate corporate investment. The latter finding is robust to different specifications and samples and when publicly available SCTR or forward-looking effective tax rate measures are used as alternative tax rate proxies.

The Corporate Tax Rate in Sweden stands at 20.60 percent. This dataset provides - Sweden Corporate Tax Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

The Corporate Tax Rate in China stands at 25 percent. This dataset provides - China Corporate Tax Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Indonesia Actual Receipt: West Papua: Local Government Revenue: Original: Local Taxes data was reported at 279.424 IDR bn in 2018. This records a decrease from the previous number of 306.596 IDR bn for 2017. Indonesia Actual Receipt: West Papua: Local Government Revenue: Original: Local Taxes data is updated yearly, averaging 131.020 IDR bn from Dec 2005 (Median) to 2018, with 14 observations. The data reached an all-time high of 306.596 IDR bn in 2017 and a record low of 6.000 IDR bn in 2006. Indonesia Actual Receipt: West Papua: Local Government Revenue: Original: Local Taxes data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Government and Public Finance – Table ID.FB035: Actual Receipt and Expenditure: by Province: West Papua.

Indonesia Actual Receipt: Sulawesi: West Sulawesi: Local Government Revenue: Original: Local Taxes data was reported at 282.711 IDR bn in 2018. This records an increase from the previous number of 259.868 IDR bn for 2017. Indonesia Actual Receipt: Sulawesi: West Sulawesi: Local Government Revenue: Original: Local Taxes data is updated yearly, averaging 108.162 IDR bn from Dec 2005 (Median) to 2018, with 14 observations. The data reached an all-time high of 282.711 IDR bn in 2018 and a record low of 20.311 IDR bn in 2005. Indonesia Actual Receipt: Sulawesi: West Sulawesi: Local Government Revenue: Original: Local Taxes data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Government and Public Finance – Table ID.FB030: Actual Receipt and Expenditure: by Province: West Sulawesi.

Indonesia Actual Receipt: Local Government Revenue: Original: Local Taxes data was reported at 128,475.985 IDR bn in 2018. This records an increase from the previous number of 125,806.426 IDR bn for 2017. Indonesia Actual Receipt: Local Government Revenue: Original: Local Taxes data is updated yearly, averaging 72,996.680 IDR bn from Dec 2006 (Median) to 2018, with 13 observations. The data reached an all-time high of 128,475.985 IDR bn in 2018 and a record low of 25,719.347 IDR bn in 2006. Indonesia Actual Receipt: Local Government Revenue: Original: Local Taxes data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Government and Public Finance – Table ID.FB001: Actual Receipt and Expenditure.

Graph and download economic data for Federal Receipts as Percent of Gross Domestic Product (FYFRGDA188S) from 1929 to 2024 about receipts, federal, GDP, and USA.

Provides the implementation and growth status of various tax budgets in Keelung City. The data is as of the end of December 2018 and the unit is New Taiwan Dollars.

Indonesia Actual Receipt: South East Sulawesi: Kendari Municipality: Local Government Revenue: Original: Local Taxes data was reported at 112.771 IDR bn in 2018. This records an increase from the previous number of 100.967 IDR bn for 2017. Indonesia Actual Receipt: South East Sulawesi: Kendari Municipality: Local Government Revenue: Original: Local Taxes data is updated yearly, averaging 36.563 IDR bn from Dec 2006 (Median) to 2018, with 13 observations. The data reached an all-time high of 112.771 IDR bn in 2018 and a record low of 7.234 IDR bn in 2006. Indonesia Actual Receipt: South East Sulawesi: Kendari Municipality: Local Government Revenue: Original: Local Taxes data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Government and Public Finance – Table ID.FD027: Actual Receipt and Expenditure: South East Sulawesi: by Municipal.

Indonesia Actual Receipt: East Nusa Tenggara: Local Government Revenue: Original: Local Taxes data was reported at 822.887 IDR bn in 2018. This records an increase from the previous number of 814.123 IDR bn for 2017. Indonesia Actual Receipt: East Nusa Tenggara: Local Government Revenue: Original: Local Taxes data is updated yearly, averaging 266.729 IDR bn from Dec 2004 (Median) to 2018, with 15 observations. The data reached an all-time high of 822.887 IDR bn in 2018 and a record low of 76.779 IDR bn in 2004. Indonesia Actual Receipt: East Nusa Tenggara: Local Government Revenue: Original: Local Taxes data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Government and Public Finance – Table ID.FB019: Actual Receipt and Expenditure: by Province: East Nusa Tenggara.

The GTED collects all publicly available data on tax expenditures (TEs) published by national governments worldwide from 1990 onwards, covering a total of 218 jurisdictions. Based on a step-by-step search process, 121 jurisdictions are currently classified as Non-reporting Jurisdictions. The remaining 97 ones do provide some type of TE data, which was gathered by the GTED team.

Wherever available, the GTED gathers revenue forgone estimates and number of beneficiaries of individual TE provisions. It also gathers metadata including the definition of the TE provision, its legal basis and duration.

Each record in the GTED is classified in four main categories: Tax Base, Policy Objective, Beneficiaries and Type of TE used. In some cases, second- or third-level categories have been introduced. For instance, Fuel Tax data is categorised at the third level within Tax Base: Taxes on Good and Services Excise Taxes Fuel Tax. If the information for a record is not available or unclear, the respective category is classified as Not stated/unclear.

When governments do not publish provision-level data but rather some kind of aggregated information, the GTED gathers this aggregate data. Likewise, if governments report on specific areas of TE only (such as tax incentives for investments, or TEs on income taxes) the GTED presents data on these areas alone. The terms TE reporting or TE report are used broadly, and refer to a large variety of public documents, ranging from annual, comprehensive reports on TEs that are part of governmental budget documentation to individual documents issued by a public body and providing some aggregate information on some specific TE mechanisms. As a minimum requirement, reports must contain some kind of information on the actual use of TE provisions. For instance, a list of available tax deductions for investments, provided by a governmental investment promotion agency, would not be considered a TE report unless they provide revenue forgone estimates or any other data that would allow users of the GTED to obtain information about the actual use of the respective TEs.

The GTED distinguishes regular and irregular reporting. A sequence of reports from 1995 to 2005 would not be considered regular reporting in the GTED, since the country had reported on a yearly basis, but not anymore. Likewise, regular is not necessarily related to annual reporting. Germany, for instance, publishes federal subsidy reports including TE data every two years since 1967. A total of 15 such reports have been issued since 1990, containing data on 29 budget years (until 2018). The GTED counts this as 29 years reported, because data is provided on a year-by-year basis and can be consulted and analysed as such.

The data is processed in a consistent format seeking to increase the level of longitudinal and cross-country comparability. Whereas revenue forgone estimates are provided as reported by governments (in local currency units, current prices), the GTED also provides figures converted into US dollars as well as indicators providing the revenue forgone through TE provisions as shares both of GDP and Tax Revenue – to compute these two indicators, data from the UNU-WIDER Government Revenue Dataset is used as input. The share of revenue forgone as a percentage of Tax Revenue is computed using figures of total tax revenue collected by countries’ central governments. The share of revenue forgone as a percentage of Tax Revenue is computed using figures of total tax revenue collected by countries’ central governments.

Besides all the effort put into ensuring comparability, cross-country analysis of TE data needs to be done cautiously. The main issue, which is inherent to TE data, regards benchmarking. TEs are defined as departures from – usually country-specific – normal tax structures or benchmarks. On this note, the GTED uses the data published by official governmental institutions, sticking to their own definitions of benchmarks, without trying to complement official figures or challenge what different countries consider as the standard tax system or the benchmark.

When it comes to the methodology used by governments to compute the fiscal cost of TE provisions, the vast majority of countries report on TEs based on the revenue forgone approach that estimates the amount by which taxpayers have their tax liabilities reduced as a result of a TE based on their actual current economic behaviour. Since the revenue forgone methodology is static, the potential interconnections between different TE provisions are not taken into account when computing the fiscal cost of TEs based on it. Hence, aggregating revenue forgone estimates of the individual provisions computed separately and without taking behavioural changes into account would not result in a figure that represents the total cost of all TEs.

While providing users of the database with the opportunity to draw comparisons across countries or country groups, we want to be clear that any such comparison should be mindful of different levels of reporting, differences in national benchmark systems and methodological shortcomings of revenue forgone estimations.

Country Income Groups and Regional Classifications are based on the latest World Bank classifications.

The German Internet Panel (GIP) is an infrastructure project. The GIP serves to collect data on individual attitudes and preferences that are relevant for political and economic decision-making processes. The questionnaire contains numerous experimental variations in the survey instruments. Further information can be found in the study documentation.

New technology usage: Internet and Smartphone. Opinion on the topics technology and Internet. Political attitudes. Topics: New technologies: frequency of Internet usage at home or at work; Non-users: reasons for non-use of the Internet; most important reason for non-use of the Internet; Internet users: devices for Internet usage; Internet device most frequent; Smartphone usage: phone location while using the Internet; phone display orientation and phone handling; types of Internet activities; opinion on technology: technology trying is good; technology at home stay up-to-date; opinion on Internet: Internet simplifies life; simplifies communication between people; easy navigation; personal problem-solving skills regarding the devices used; demands for anonymous opinion on the Internet; legitimate concerns about the security of credit card when paying on the Internet; Internet as a threat to privacy; difficulties in deleting self-published information; trust in the quality of products on the Internet; trust in the quality of news on the Internet; Internet destroys regional jobs; surveillance threatens privacy.

Political attitudes: trust in the actions of the federal government; opinion on tax wastage; economic left right placement; party preference (Sunday question); opinion on tax competition between states; opinion on international coordination; opinion on the general tax load in Germany; main reasons for taxation (financing state tasks, redistribution of income, contributing to society - ranking); main consequences of an increase in the tax on corporate profits (higher consumer prices, lower wages of employees, dismissal of employees, lower corporate profits - ranking); satisfaction with democracy; expected role of Andrea Nahles as future party leader of the SPD; assessment of the competence of Andrea Nahles as chair of the SPD; role of Martin Schulz as former party leader of the SPD; assessment of the competence of Martin Schulz as chair of the SPD.

Experiment on the taxation of corporate profits in three hypothetical countries with selected political and economic framework conditions (attributes: The level of national debt, inequality of income, size of the country, tax policy of neighbouring countries, integration into world trade and possibilities for companies to transfer profits abroad) with various questions: Level of taxation of corporate profits; proportion of profits that companies are expected to pay to the state as taxes (in percent); higher taxation of corporate profits vs. wages and salaries; use for stronger international cooperation in the taxation of corporate profits; priority level of the aforementioned attributes (level of national debt, inequality of income, size of the country, tax policy of neighbouring countries, integration into world trade and possibilities for the company to transfer profits abroad) for personal decision in the previous scenarios.

Demography (variables added): sex; age (year of birth categories); highest educational degree; highest professional qualification; marital status; number of household members (household size); employment status; residence state; year of recruitment; German citizenship; private Internet usage.

Additionally coded: Unique ID identifier; household identifier and person identifier within the household; interview date; current online status; questionnaire evaluation (interesting, varied, relevant, long, difficult, too personal); overall assessment of the survey; further comments.

According to Cognitive Market Research, the global Tax Management Software market size will be USD 474.88 million in 2024 and will expand at a compound annual growth rate (CAGR) of 19.46% from 2024 to 2033. Market Dynamics of Tax Management Software

Increasing need for automated software to maintain large transactions as a key driver.

Due to globalization and the expansion of the e-business there is need for a platform that permits companies to do businesses across countries and the trade zones. There is a need of the software which could help businesses to meet the changing tax laws and to comply with rules. These software helps businesses to manage their compliances with the laws and allows them to meet the tax liabilities on time. For instance,

Increasing governments emphasis on the tax laws as a key driver.

Tax laws in a country play a prominent role in its economic development. The primary function of the taxation is to generate the revenue of the government. This revenue is used to finance a wide range of public services, including education, healthcare, national defense, infrastructure development, and social security programs. As per the survey conducted by the The State of Tax Justice 2023, Countries are losing $480 billion in tax a year to global tax abuse. Of the $480 billion lost a year, $311 billion is lost to cross-border corporate tax abuse by multinational corporations and $169 billion is lost to offshore tax abuse by wealthy individuals. For instance, in India the total number of evasion cases detected stood at 25,397, with a total detection amount of Rs 1,94,938 crore. In China, as per the administration they had punished 440,000 companies suspected of tax fraud and recovered 90.9 billion yuan in 2021, beating the 2020 figures of 322,300 and 85 billion yuan, respectively. These instances globally show the rising concerns regarding the tax collection. The World Bank's Global Tax Program (GTP), housed at the Fiscal Policy and Sustainable Growth Unit of the World Bank, was launched in 2018. helps countries in strengthening their tax systems with evidence-based, comprehensive, and sequenced reform programs at global, regional, and country levels. Restraints of the Tax Management Software

High Cost as a restraint 

Although modern tax and accounting software has many advantages, the high costs of obtaining, deploying, and maintaining these systems can be a substantial obstacle. For instance, the cost incurred in preparing the tax software like TurboTax on an average may fluctuate between $30,000 to $3,00,000 depending on the features like platform, design, technology stack and more. It can be categorized by basic, medium, and advanced app functionalities: • Basic-The Basic App provides essential functionalities such as income and deduction input, basic tax calculations, and straightforward e-filing. With a price range of $30,000 to $50,000, this option caters to users seeking a straightforward, cost-effective solution for their tax needs. • Medium- The Medium App enhances the tax preparation experience with additional features. Priced between $50,000 and $100,000, it goes beyond the basics, offering support for various tax forms, state tax filing capabilities, and integration with basic tax data providers. • Advanced-Tailored for users with intricate financial landscapes, this option boasts AI-powered tax optimization for maximizing deductions and credits. With a comprehensive interview-based filing system with a price range of $100,000+, it offers robust guidance and support, providing a top-tier solution for users navigating intricate tax scenarios.

Data Privacy hinders the adoption of tax and accounting software

The integration of artificial intelligence (AI) into tax filing systems has revolutionized traditional processes, promising enhanced efficiency and accuracy. As the firms digitalize they face a higher risk of data breaches, cyberattacks and privacy violations as they rely heavily on the digital platforms. Data breaches and the cyberattacks can lead to the losses and reputational damage to a firm. As a result, businesses hesitate to use the tax and the accounting software which don’t comply with the security norms. • For instance, as per 2019 report, the Government Accountability Office said that ac...

Indonesia Actual Receipt: Kalimantan: East Kalimantan: Local Government Revenue: Original: Local Taxes data was reported at 3,320.000 IDR bn in 2018. This records a decrease from the previous number of 3,505.578 IDR bn for 2017. Indonesia Actual Receipt: Kalimantan: East Kalimantan: Local Government Revenue: Original: Local Taxes data is updated yearly, averaging 3,127.251 IDR bn from Dec 2004 (Median) to 2018, with 15 observations. The data reached an all-time high of 5,429.126 IDR bn in 2014 and a record low of 520.787 IDR bn in 2004. Indonesia Actual Receipt: Kalimantan: East Kalimantan: Local Government Revenue: Original: Local Taxes data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Government and Public Finance – Table ID.FB022: Actual Receipt and Expenditure: by Province: East Kalimantan.

Indonesia Actual Receipt: Papua: Puncak Jaya Regency: Local Government Revenue: Original: Local Taxes data was reported at 1.187 IDR bn in 2018. This records an increase from the previous number of 0.341 IDR bn for 2017. Indonesia Actual Receipt: Papua: Puncak Jaya Regency: Local Government Revenue: Original: Local Taxes data is updated yearly, averaging 0.265 IDR bn from Dec 2006 (Median) to 2018, with 12 observations. The data reached an all-time high of 1.187 IDR bn in 2018 and a record low of 0.011 IDR bn in 2009. Indonesia Actual Receipt: Papua: Puncak Jaya Regency: Local Government Revenue: Original: Local Taxes data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Government and Public Finance – Table ID.FC033: Actual Receipt and Expenditure: Papua: by Regency.

Indonesia Actual Receipt: West Sumatera: South Pesisir Regency: Local Government Revenue: Original: Local Taxes data was reported at 20.999 IDR bn in 2018. This records an increase from the previous number of 18.505 IDR bn for 2017. Indonesia Actual Receipt: West Sumatera: South Pesisir Regency: Local Government Revenue: Original: Local Taxes data is updated yearly, averaging 7.027 IDR bn from Dec 2006 (Median) to 2018, with 13 observations. The data reached an all-time high of 20.999 IDR bn in 2018 and a record low of 2.634 IDR bn in 2007. Indonesia Actual Receipt: West Sumatera: South Pesisir Regency: Local Government Revenue: Original: Local Taxes data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Government and Public Finance – Table ID.FC003: Actual Receipt and Expenditure: West Sumatera: by Regency.

Thailand BB Forecast: Non Taxes Revenue: Actual data was reported at 232,379.700 THB mn in 2019. This records an increase from the previous number of 221,389.100 THB mn for 2018. Thailand BB Forecast: Non Taxes Revenue: Actual data is updated yearly, averaging 101,749.600 THB mn from Sep 1987 (Median) to 2019, with 33 observations. The data reached an all-time high of 290,538.100 THB mn in 2016 and a record low of 12,254.700 THB mn in 1987. Thailand BB Forecast: Non Taxes Revenue: Actual data remains active status in CEIC and is reported by Bureau of the Budget. The data is categorized under Global Database’s Thailand – Table TH.F016: Government Budget: Forecast: Bureau of the Budget.

Indonesia Actual Receipt: Sulawesi: North Sulawesi: Local Government Revenue: Original: Local Taxes data was reported at 1,000.049 IDR bn in 2018. This records an increase from the previous number of 983.887 IDR bn for 2017. Indonesia Actual Receipt: Sulawesi: North Sulawesi: Local Government Revenue: Original: Local Taxes data is updated yearly, averaging 477.202 IDR bn from Dec 2004 (Median) to 2018, with 15 observations. The data reached an all-time high of 1,000.049 IDR bn in 2018 and a record low of 120.462 IDR bn in 2004. Indonesia Actual Receipt: Sulawesi: North Sulawesi: Local Government Revenue: Original: Local Taxes data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Government and Public Finance – Table ID.FB028: Actual Receipt and Expenditure: by Province: North Sulawesi.

Indonesia Actual Receipt: South East Sulawesi: North Kolaka Regency: Local Government Revenue: Original: Local Taxes data was reported at 6.990 IDR bn in 2018. This records an increase from the previous number of 5.389 IDR bn for 2017. Indonesia Actual Receipt: South East Sulawesi: North Kolaka Regency: Local Government Revenue: Original: Local Taxes data is updated yearly, averaging 4.220 IDR bn from Dec 2006 (Median) to 2018, with 13 observations. The data reached an all-time high of 6.990 IDR bn in 2018 and a record low of 0.663 IDR bn in 2006. Indonesia Actual Receipt: South East Sulawesi: North Kolaka Regency: Local Government Revenue: Original: Local Taxes data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Government and Public Finance – Table ID.FC027: Actual Receipt and Expenditure: South East Sulawesi: by Regency.

Indonesia Actual Receipt: Papua: Local Government Revenue: Original: Local Taxes data was reported at 760.896 IDR bn in 2018. This records an increase from the previous number of 756.689 IDR bn for 2017. Indonesia Actual Receipt: Papua: Local Government Revenue: Original: Local Taxes data is updated yearly, averaging 275.092 IDR bn from Dec 2004 (Median) to 2018, with 15 observations. The data reached an all-time high of 760.896 IDR bn in 2018 and a record low of 125.798 IDR bn in 2004. Indonesia Actual Receipt: Papua: Local Government Revenue: Original: Local Taxes data remains active status in CEIC and is reported by Central Bureau of Statistics. The data is categorized under Indonesia Premium Database’s Government and Public Finance – Table ID.FB034: Actual Receipt and Expenditure: by Province: Papua.