Tax Reforms and Evidence of Transfer Pricing
The manipulation of transfer prices changes the relative tax burdens multinational firms face in their different countries of operation. Transfer price manipulation also triggers changes in the tariffs that are levied on intra-company imports. For this reason, when tax rates change, as they did for many countries during the 1980s, the incentive to manipulate transfer prices varies substantially across products. I use product-level variation in tariff duties to identify transfer pricing changes in products imported to the U.S. The empirical results indicate that variations in the reported customs values of U.S. imports from Canada, France, Germany, Japan, and the U.K. were consistent with the transfer pricing incentives created by taxes and tariffs.
Volume (Year): 54 (2001)
Issue (Month): 1 (March)
|Contact details of provider:|| Postal: 529 14th Street NW Suite 750, Washington DC 20045|
Web page: https://www.ntanet.org/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Martin S. Feldstein & James R. Hines, Jr. & R. Glenn Hubbard, 1995. "Introduction to "The Effects of Taxation on Multinational Corporations"," NBER Chapters,in: The Effects of Taxation on Multinational Corporations, pages 1-6 National Bureau of Economic Research, Inc.
- Feldstein, Martin & Hines, James R. & Hubbard, R. Glenn (ed.), 1995. "The Effects of Taxation on Multinational Corporations," National Bureau of Economic Research Books, University of Chicago Press, edition 1, number 9780226240954.
- Martin Feldstein & James R. Hines Jr. & R. Glenn Hubbard, 1995. "The Effects of Taxation on Multinational Corporations," NBER Books, National Bureau of Economic Research, Inc, number feld95-2.
When requesting a correction, please mention this item's handle: RePEc:ntj:journl:v:54:y:2001:i:1:p:7-26. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ann Crampton)
If references are entirely missing, you can add them using this form.