About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline

LOG IN
LOG IN


1 Michael Christl, et al., Competitive Corporate Tax Policy Is Essential for European Economic Growth 1 (2026)

handle is hein.taxfoundation/cmpcp0001 and id is 1 raw text is: TaxFoundation Europe Competitive Corporate Tax Policy Is Essential for European Economic Growth May. 2026 By: Michael Christi, Alex Mengden, Sean Bray, Monika Koppl-Turyna Key Findings * In a more geopolitically hostile world, economic growth matters not only for individual opportunity but also as the foundation of governments' ability to defend their values and interests in internation- al conflict. * Too often, tax reform discussions focus on headline rates without considering the tax base and how specific taxes interact with the broader fiscal framework. * Tax Foundation's International Tax Competitiveness Index (ITCI) provides a useful tool for evaluating the efficiency of tax systems and their support of long-term capital formation and growth. * Countries with more competitive overall tax systems (as measured by the ITCI) tend to perform better economically. * An improvement by one standard deviation in the corporate category score (14.3 points) translates into roughly 1 percentage point higher annual GDP per capita growth and a cumulative 2.29 per- centage points over three years. * EU tax policy harmonization can support economic growth only if the harmonized policies reduce frictions between Member States and improve their systems compared to the national status quo. Tax Foundation Europe is Europe's leading voice on tax policy, established as an international non-profit (AISBL) in Belgium. Our mission is to improve lives through tax policies that lead to greater economic growth and opportunity. TAX FOUNDATION EUROPE, RUE DARLON 40, 1000 BRUSSELS, BELGIUM I taxfoundation.org/eu