When corporate income is taxed is it the shareholders who bear the cost, or do firms shift it on to workers via lower wages or onto consumers via higher prices. Is the money gained through the tax lost through knock-on disincentives to innovation and growth. In a globalised economy it is no longer clear who has the right to tax a company and how much they should expect them to pay. Rachel Griffith thinks that the current corporate tax system needs a rethink if it is to be made fit for modern times.
