外國人投資에 대한 國際課稅와 韓國의 國際實效稅率 및 投資效果 分析

International Taxation, Effective Tax Rate, and Foreign Direct Investment in Korea

Foreign direct investment plays an important role in the international transfer of both capital and technology. As capital moves across countries, international tax competition arises in the global economy. This work investigates international taxation on foreign direct investment, estimates international effective tax rate, and analyzes its effect on foreign investment in Korea. The analytic approach is quite different from others in the sense that this paper takes the concept of the effective tax rate. The evidence presented in this work suggests that there exists significant negative relationship between the effective tax rate and foreign investment in Korea. Tax incentives for foreign investment turn out to be effective, whose effects depend on the origin of investors.