Year: 2024
Type: article
Abstract: In recent years, China has been accelerating the pace of opening up to the outside world, and the signing of bilateral tax treaties has become one of the important means to solve international tax disputes. This paper uses the stock data of FDI from 2003 to 2022 for empirical analysis, and finds that: (1) the signing of bilateral tax treaties has a significant promoting effect on enterprises' FDI. (2) A bilateral tax treaty with a tax concession provision is more likely to promote foreign direct investment by enterprises than a bilateral tax treaty without such provision. (3) Bilateral tax treaties have a stronger promotion effect on enterprises' direct investment in small and close countries with total trade volume. The research shows that China should actively promote the signing of bilateral tax agreements with other countries, and actively negotiate the content of tax exemption clauses, so as to provide a solid system guarantee for Chinese enterprises to go global.
DOI: 10.54691/m8pt2w72
Author: Jiayi Lu
Institution: Nanjing Audit University
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: hybrid
OpenAlex ID: W4404834709