Revisiting Tax Incentives as an Investment Promotion Tool

by Kudzai Mataba, Thomas Lassourd, Alexandra Readhead & Suzy Nikièma

The recently published IISD brief “Revisiting Tax Incentives as an Investment Promotion Tool: Q&A for investment policy-makers” provides answers to the investment community on the evolution of tax incentives as an investment promotion tool. Looking ahead to the implementation of the global minimum corporate tax and beyond, the analysis is structured around five key questions:

  • What are tax incentives, and how do they differ from other investment incentives?
  • Are tax incentives effective at attracting investment?
  • What does the global minimum tax mean for the effectiveness of tax incentives?
  • What are the legal considerations for tax incentive reforms?
  • What is the future of tax incentives?