S-Space College of Business Administration/Business School (경영대학/대학원) Dept. of Business Administration (경영학과) Theses (Ph.D. / Sc.D._경영학과)
Tax-Motivated Income Shifting by Multinationals under a Worldwide Tax System: Evidence from Korea
전세계과세 다국적기업들의 조세유인에 의한 소득이전: 한국기업을 중심으로
- 경영대학 경영학과
- Issue Date
- 서울대학교 대학원
- Income shifting; Worldwide tax system; Tax avoidance; Tax planning; BEPS; IFRS; Intercompany transaction
- 학위논문 (박사)-- 서울대학교 대학원 경영대학 경영학과, 2017. 8. 정운오.
- This study first provides the empirical evidence on tax-motivated income shifting by multinationals under a worldwide tax system at the subsidiary level. Using subsidiary-specific data of Korean multinationals during 2006-2015, I find that multinationals subject to a worldwide tax regime shift income out of a parent country to low corporate tax rate countries to reduce their worldwide tax burden, consistent with regulators’ concerns about international tax avoidance. In addition, I find that the parent-country outward income shifting has decreased after the adoption of International Financial Reporting Standards (IFRS). But the parent-country outward income shifting is not affected by the Base Erosion and Profit Shifting (BEPS) package for curbing the international tax avoidance. Furthermore, I show that multinationals utilize intercompany capital transactions with their foreign subsidiaries as a means of international income shifting.