The Effective Tax Burden of Companies in European Regions

An International Comparison

  • Lothar Lammersen
  • Robert Schwager

Part of the ZEW Economic Studies book series (ZEW, volume 28)

About this book


The tax burden on investment or companies is an important factor for the attractiveness of a country or a region. In particular, business location and investment decisions are influenced by the relative tax burdens encountered in different regions. This study presents estimates of the effective average and marginal tax rates on company investment for 143 regions in Europe and the USA. Using the approach pioneered by Michael Devereux and Rachel Griffith, it is shown that companies face a wide variation of effective tax burdens across European regions. The results are explained by analysing the importance of specific tax provisions for the tax burden at the various locations.


Corporate Taxation Effective Tax Burden Import Investment Tax Competition Taxation

Authors and affiliations

  • Lothar Lammersen
    • 1
  • Robert Schwager
    • 2
  1. 1.Centre for European Economic Research (ZEW), L 7,1Mannheim
  2. 2.Wirtschaftswissenschaftliche FakultätGeorg-August-Universität GöttingenGöttingenGermany

Bibliographic information