But is it feasible to tax corporate profits in the country of destination? And is it legitimate? In 2014 Michael Devereux and I set out the reasons why we think it is both.
That Devereux is being praised for laying out a method of beating tax dodging would be bad enough. But that he’s being credited with inventing the idea will cause an explosion:
In 2008 a paper by professors Michael Devereux at Oxford University, Alan Auerbach at the University of California, Berkeley, and Helen Simpson at Bristol University came up with a new solution: what if we taxed profits in the country where the customers are? Their idea was to tax corporations at the least movable point of the production chain, at a point that corporations could not shift or manipulate.
It’s still a shitty idea of course.