Common rules (not rates) should be the answer to tax competition in the EU

Tax avoidance is a key problem for European countries, with the EU taking several steps to try and limit the ability of businesses to shift their profits to low-tax jurisdictions. Peter Dietsch writes on the nature of the problem and what can be done to tackle it. He argues that whatever form of regulation is implemented, only a multilateral solution can address the problem. He suggests that the creation of an International Tax Organisation (ITO) with powers similar to those of the WTO would be an effective means to promote reform.