TY  - RPRT
        AU  - Fuest, Clemens
AU  - Peichl, Andreas
AU  - Siegloch, Sebastian
        TI  - Do Higher Corporate Taxes Reduce Wages?
        PY  - 2015/Dec/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 9606
        UR  - https://www.iza.org/index.php/publications/dp9606
        AB  - This paper estimates the incidence of corporate taxes on wages using a 20-year panel of German municipalities. Administrative linked employer-employee data allows estimating heterogeneous worker and firm effects. We set up a general theoretical framework showing that corporate taxes can have a negative effect on wages in various labor market models. Using an event study design, we test the predictions of the theory. Our results indicate that workers bear about 40% of the total tax burden. Empirically, we confirm the importance of both labor market institutions and profit shifting possibilities for the incidence of corporate taxes on wages.
        KW  - administrative data
KW  - wage incidence
KW  - business tax
KW  - local taxation
        ER  -