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The Political Economy of the International Tax Transparency Agenda in the G20/OECD Context

Author

Listed:
  • Ludger Schuknecht
  • Vincent Siegerink

Abstract

This paper empirically analyses the motives underlying progress in implementing multilateral tax transparency standards. The results point to the protection of domestic special interests as a potential motive behind slower and less rigorous implementation. In particular, jurisdictions with a significant share of global offshore wealth and to some extent those that host shell company activity, progress less in adopting and implementing the AEOI and EOIR standards. High tax jurisdictions seem to make more progress, while those with significant wealth held offshore seem to lag behind. These special interest considerations, however, may have declined over time as participation became more global and compliance improved. There is also evidence that reputational motives and preceding bilateral collaboration mattered for the speed and comprehensiveness of participation.

Suggested Citation

  • Ludger Schuknecht & Vincent Siegerink, 2021. "The Political Economy of the International Tax Transparency Agenda in the G20/OECD Context," CESifo Working Paper Series 8813, CESifo.
  • Handle: RePEc:ces:ceswps:_8813
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    More about this item

    Keywords

    policy coordination; international public goods; tax transparency and coordination; information exchange;
    All these keywords.

    JEL classification:

    • D70 - Microeconomics - - Analysis of Collective Decision-Making - - - General
    • F53 - International Economics - - International Relations, National Security, and International Political Economy - - - International Agreements and Observance; International Organizations
    • H26 - Public Economics - - Taxation, Subsidies, and Revenue - - - Tax Evasion and Avoidance

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