Achieving net-zero climate goals requires significant private sector investment in clean technologies. Corporate income tax (CIT) design affects private sector investment and thus warrants consideration in the context of climate policy. This paper presents a conceptual framework outlining key channels through which CIT influences clean investment decisions and broader factors that mediate this relationship. It also identifies policy implications and potential policy options to enhance the alignment of CIT with climate policy objectives.
Corporate income tax, investment, and the Net-Zero Transition
Issues for consideration
OECD Taxation Working Papers
