Towards Reform of International Corporate Taxation: 1st. Meeting of ICRICT 18th. March, 2015 Roger Smith Hotel, Solarium New York, USA Adhemar S. Mineiro

Impacts of the current international corporate taxation framework Brazil : Combined effects (financial outflows + tax evasion) → financial liberalization since 1990’s opened the ways for both capital outflows and tax evasion; Effects on the balance of payments → necessity/costs of maintaining huge foreign currency reserves; Effects on the national budget → high interest rates impacting national budget/limits to social policies & payment of public employees; Effects on social policies → limities to social policies (education, health, social services, social security, income transfer policies; New effects from Brazilian corporations (new Brazilian TNCs operating by the standards of existing TNCs).

Recommendations Recovery of national control capital flows mechanisms exist until the 1990s or creation of new mechanisms; Discussion & establishment of new mechanisms related to the control of tax evasion by TNCs; Establishment of efficient mechanisms of control related to the taxation of Brazilian corporations, including more transparence and accountability of income statement.