Current Issues in Taxation: Comparative Tax Law

Some problems and design challenges of taxation affect many, or even all, tax systems. Building on foundational concepts covered in Tax Principles and Policy and Principles of International Taxation, this course enables students to develop an in-depth understanding of these common challenges by engaging with legislative approaches from various jurisdictional perspectives. Besides providing a source of inspiration and a theoretical framework for assessing particular tax policy options, the comparative approach familiarises students with the structural variations among national tax systems – an understanding that is essential for a growing set of transnational business transactions.

The first part of the course establishes a methodological framework for comparative taxation. It explores the implications of broader political contexts, examining constitutional and budgetary law principles across common law systems, continental European countries, and other legal frameworks, such as those of BRICS and EMDE countries.

The second part of the course focuses on current challenges in taxation that lend themselves to comparative analysis. Drawing on examples from students’ home jurisdictions alongside recent global developments, the class will contrast and compare varied legislative solutions to sharpen our understanding of the core problems and potential remedies.

Throughout the course, we will move from classical problems towards more recent examples. Among the issues we will discuss will be:

  • Constitutional limitations on taxation
  • Conceptual contours and mitigation of tax avoidance
  • Pigouvian taxation that pursues regulatory objectives beyond revenue generation, such as ESG or public health considerations
  • Definition of source when taxing non-resident taxpayers
  • Legislative engagement in tax competition, such as preferential regimes offered to individuals and companies
  • Taxation as a crisis governance instrument, such as fiscal responses to the Covid-19 pandemic or the recent utilisation of taxation as an instrument of foreign policy.

The course is taught by Professor Johanna Stark with Professor Andrés Báez Moreno, Universidad Carlos III de Madrid.