Tax Investment Incentives in Foreign Direct Investment further develops some of the themes of the author's 1999 publication, Taxation of Foreign Direct Investme... » 

Tax Investment Incentives in Foreign Direct Investment further develops some of the themes of the author's 1999 publication, Taxation of Foreign Direct Investment: An Introduction. Whereas the earlier volume focused on the impact of tax rules on FDI decisions, this volume is an examination of tax incentives for foreign direct investment. The book is divided into three parts. Part One examines the context in which tax incentives for FDI are granted; the growing competition to attract FDI, the reasons why countries (especially developing countries) seek to attract FDI, the reasons why enterprises invest abroad, and the principal determinants of FDI location. Part Two is based on the assumption that, whatever the theoretical objections to incentives, countries are likely to continue to use them for some years to come. It consequently examines how some of the defects in incentives can be avoided and how they can be made more effective and more efficient. Part Three examines three of the most important policy issues concerning investment incentives. Firstly, what constraints are imposed on national incentives policy (e.g. by bodies such as the WTO and EU). Secondly, how can countries avoid a damaging race to the bottom, by co-ordinating their incentives policies. Thirdly, what action can be taken to counter harmful tax competition that takes the form of investment incentives? «