Tricky Taxation: The Evolution of EU Rules Regarding Cross-Border Loss Shifting and Their Impact on Business Locational Decisions
Direct tax harmonisation in the EU is the next and perhaps the last step towards complete economic integration after the creation of Economic and Monetary Union. However, because of political sensitivity of taxation only indirect taxes are harmonised in the EU, while direct tax competition between Member States stays. Countries are still free to introduce various tax incentives in order to attract