A Progressive Global Corporate Tax For the Age of AI

AI Safety
Written By Future Impact

← Back to the Research Library

FIG Fellows: Anna Schuh, Tam Trinh

Authors: Deric Cheng, Anna Schuh, Tam Trinh

Abstract:

Tax revenues globally could be at risk from transformative artificial intelligence (TAI) due to a shift from labor to capital, the concentration of economic profits, and weak international tax coordination. The vast majority of countries should be concerned about the potential of TAI significantly impacting their tax bases.

We propose that a progressive global corporate profit tax would help counteract such tax base erosion. A practical implementation could expand on the OECD BEPS 2.0 proposal to “increase the global floor” for the taxation of the most profitable digital corporations, and encourage countries to incorporate corporate tax progressivity on a national level.

View publication
Future Impact
Previous

Financing the AI Triad: Compute, Data and Algorithms, a framework to build local ecosystems
Next

Lessons from Source Code Inspection Facilities for AI Verification