S6 Ep13: Profit shifting hits developing countries hardest
24 min • 2 april 2025
Multinational enterprises in every industry are shifting profits to low-tax jurisdictions. These corporate tax havens reduce tax revenues everywhere, but that hits hardest in developing countries where corporate taxes are a larger part of the overall tax take. The International Growth Centre has published a policy toolkit report into corporate tax havens. Ludvig Wier, the author, explains to Tim Phillips how profit shifting works, how a global initiative is reducing the allure of tax havens, and how AI might level the playing field for overstretched developing country tax offices.