This paper presents empirical evidence on the proposed global minimum tax (GMT) of the OECD's Pillar 2. First, it addresses how many, and which, countries or country groups can be seen as constituting a ‘critical mass’ for its successful implementation; given such a critical mass, remaining jurisdictions worldwide will have an incentive to implement the GMT as well. Second, it assesses the generosity of the substance-based income exclusion (SBIE), which is informative for the revenue collected under the GMT.
Authors
![Michael Devereux](/sites/default/files/styles/square_desktop/public/2022-07/Michael_Devereux.jpg?itok=j8Yfozzo)
Research Associate University of Oxford and Oxford Centre for Business Taxation
Michael joined the IFS in 1982 and he has been a Research Fellow since 1990 and a Professor of Economics at the University of Oxford.
University of Tübingen
![Person graphic](/sites/default/files/styles/square_desktop/public/2022-06/IFS-person-graphic.png?itok=hWCtTSrz)
Martin Simmler
Journal article details
- DOI
- 10.1111/1475-5890.12317
- Publisher
- Wiley
- ISSN
- 0143-5671
- Issue
- Volume 44, Issue 1, March 2023, pages 9-21
Suggested citation
M, Devereux and J, Paraknewitz and M, Simmler. (2023). 'Empirical evidence on the global minimum tax: What is a critical mass and how large is the substance-based income exclusion?' , 44(1/2023), pp.9–21.
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