On the Neutrality of Profit Taxation under International Competition

On the Neutrality of Profit Taxation under International Competition | Research Square window.SnipcartSettings = { analytics: { enabled: false } }; (function() { var accessVector = localStorage.getItem('access_vector') || ''; window.dataLayer = window.dataLayer || []; if (accessVector) { window.dataLayer.push({ user: { profile: { profileInfo: { snid: accessVector } } } }); } })(); (function(w,d,s,l,i){w[l]=w[l]||[];w[l].push({'gtm.start':new Date().getTime(),event:'gtm.js'});var f=d.getElementsByTagName(s)[0],j=d.createElement(s),dl=l!='dataLayer'?'&l='+l:'';j.async=true;j.src='https://www.googletagmanager.com/gtm.js?id='+i+dl;f.parentNode.insertBefore(j,f);})(window,document,'script','dataLayer','GTM-K279D39R'); Browse Preprints In Review Journals COVID-19 Preprints AJE Video Bytes Research Tools Research Promotion AJE Professional Editing AJE Rubriq About Preprint Platform In Review Editorial Policies Our Team Advisory Board Help Center Sign In Submit a Preprint Cite Share Download PDF Research Article On the Neutrality of Profit Taxation under International Competition Horn-In Kuo, K. L. Glen Ueng, Yan-Shu Lin, Pei-Cyuan Shih This is a preprint; it has not been peer reviewed by a journal. https://doi.org/ 10.21203/rs.3.rs-4209315/v1 This work is licensed under a CC BY 4.0 License Status: Posted Version 1 posted You are reading this latest preprint version Abstract This paper investigates the neutrality of profit taxation under international competition. When the foreign entry mode is export, profit tax neutrality always holds under an oligopolistic market. However, profit tax neutrality only holds if the privatization policy is optimized under a mixed oligopolistic market. Furthermore, profit tax neutrality is irrelevant to whether the import tariff policy is endogenized. However, profit tax neutrality will not hold if there is FDI, even when the privatization policy and the import tariff policy are optimized. JEL classification: H21, L11, L22, L23 Mixed oligopoly Profit tax neutrality International competition Full Text Additional Declarations No competing interests reported. Cite Share Download PDF Status: Posted Version 1 posted You are reading this latest preprint version Research Square lets you share your work early, gain feedback from the community, and start making changes to your manuscript prior to peer review in a journal. As a division of Research Square Company, we’re committed to making research communication faster, fairer, and more useful. We do this by developing innovative software and high quality services for the global research community. Our growing team is made up of researchers and industry professionals working together to solve the most critical problems facing scientific publishing. Also discoverable on Platform About Our Team In Review Editorial Policies Advisory Board Help Center Resources Author Services Accessibility API Access RSS feed Manage Cookie Preferences © Research Square 2026 | ISSN 2693-5015 (online) Privacy Policy Terms of Service Do Not Sell My Personal Information {"props":{"pageProps":{"initialData":{"identity":"rs-4209315","acceptedTermsAndConditions":true,"allowDirectSubmit":true,"archivedVersions":[],"articleType":"Research Article","associatedPublications":[],"authors":[{"id":289660833,"identity":"34982717-aafe-4a15-b2f2-e259a5082fa3","order_by":0,"name":"Horn-In Kuo","email":"","orcid":"","institution":"Ming Chuan University","correspondingAuthor":false,"prefix":"","firstName":"Horn-In","middleName":"","lastName":"Kuo","suffix":""},{"id":289660834,"identity":"5dcb1407-1049-4805-81ec-323a4ff620d3","order_by":1,"name":"K. L. 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