1 / 6

Philipp Genschel

B R E M E N. Tax competition, tax harmonization and tax innovation P resentation for the workshop on ‚Policy learning and experimentation in EU economic governance: Laboratory federalism in practice? ‘ London, 30-31 March 2006. Philipp Genschel.

jcavanaugh
Download Presentation

Philipp Genschel

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. B R E M E N Tax competition, tax harmonization and tax innovation Presentation for the workshop on ‚Policy learning and experimentation in EUeconomic governance: Laboratory federalism in practice?‘ London, 30-31 March 2006 Philipp Genschel

  2. 1. Market integration v. policy experimentation – a trade-off Internal Market • An ‚area without internal frontiers in which the free movement off goods, persons, services and capital is ensured …’ (Art. 14 EC Treaty) • Basic requirement: elimination of internal frontiers Laboratory federalism • A multilevel governance system which ‘ … contains the risks of policy experiments to a smaller part of the polity …’ (Conference Program) • Basic requirement: keeping up of internal frontiers

  3. 2. The EU tax policy regime focuses on market integration All policy instruments are geared towards the elimination of tax barriers and distortions in the Internal Market • Tax harmonization • Competition policy • Tax jurisprudence • Soft coordination

  4. 3. The EU tax policy regime constrains national policy experimentation – empirical illustrations Tax harmonization • Taxation of labour-intensive services • Reverse-charge system • IRAP Tax competition • Expenditure taxation • Corporate-personal tax integration

  5. 4. The costs of market integration – two perspectives Traditional perspective: • Loss of capacity for democratic self-government and problem solving at the national level Dynamic perspective: • Undersupply of policy variation and learning opportunities at the European level

  6. 5. Objections? • Room for national tax policy experimentation is reduced but not eliminated in the EU Internal Market. • Freedom for policy experimentation may be abused for protectionist purposes. • Less policy experimentation in the public sector may lead to more business experimentation in the private sector.

More Related