Thursday, December 1, 2011
Daniel Shaviro (NYU) delivers the keynote address on Rethinking International Tax Policy at the Third International Colloquium at the Center for Fiscal Studies at the University of São Paulo, Faculty of Law.
Today’s question: How should Brazil and/or the U.S. rethink their approaches to taxing foreign source income, given developments in other countries? Note two distinct possible reasons for the rethinking:
- Might developments in other countries reflect new developments that we (in both the U.S. and Brazil) need to consider? Recall the old cartoon where the fond mother watches the parade and says: “Everyone’s out of step but my Johnny!” Rising globalization and worldwide capital mobility clearly are relevant and more important today than, say, 50 years ago.
- Might developments in other countries affect the U.S. and Brazil’s optimal strategic choices? Plus, it’s always worthwhile to re-examine old paradigms, just in case we are pygmies standing on the shoulders of giants.