An edition of The X tax in the world economy (2004)
The X-Tax in the World Economy
Going Global with a Simple, Progressive Tax (AEI Studies on Tax Reform)
By David F. Bradford
Publish Date
October 1, 2004
Publisher
AEI Press,Aei Press
Language
eng
Pages
60
Description:
"This paper considers the treatment of multinational business in the system known as an X Tax. The focus is on the choice between origin and destination treatments of transborder transactions. The destination-principle approach sidesteps the transferpricing problem. It remains in the origin-principle approach, which, however, presents fewer challenges of monitoring imports, obviates the tourism problem' whereby people can reduce their taxes by consuming in a low-tax jurisdiction and avoids transition effects associated with introduction of the tax and subsequent tax rate changes. The paper suggests special rules for transborder transactions between related parties to deal with the transfer-pricing problem"--National Bureau of Economic Research web site.