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Profit shifting by multinational corporations: Evidence from transaction-level data in Nigeria

Author

Listed:
  • Bathusi Gabanatlhong
  • Javier Garcia-Bernardo
  • Paulinus Iyika
  • Miroslav Palanský
Abstract
Research on profit shifting by multinational corporations in developing countries is limited due to a lack of data. In this paper we use, for the first time, novel administrative data on the transactions of multinational corporations operating in Nigeria vis-à-vis related parties in other jurisdictions. The data provides a breakdown of these intra-group transactions into seven categories: (1) tangible goods, (2) services and fees, (3) royalties, (4) interest, (5) dividends, (6) reimbursements, and (7) other.

Suggested Citation

  • Bathusi Gabanatlhong & Javier Garcia-Bernardo & Paulinus Iyika & Miroslav Palanský, 2022. "Profit shifting by multinational corporations: Evidence from transaction-level data in Nigeria," WIDER Working Paper Series wp-2022-36, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2022-36
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    References listed on IDEAS

    as
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    8. Dhammika Dharmapala, 2014. "What Do We Know about Base Erosion and Profit Shifting? A Review of the Empirical Literature," Fiscal Studies, Institute for Fiscal Studies, vol. 35, pages 421-448, December.
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    11. Fuest, Clemens & Hebous, Shafik & Riedel, Nadine, 2011. "International debt shifting and multinational firms in developing economies," Economics Letters, Elsevier, vol. 113(2), pages 135-138.
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    Keywords

    Tax havens; Multinational firms; Profit shifting;
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