Digitalization as a Determinant of Tax Revenues in OECD Countries: A Static and Dynamic Panel Data Analysis

The tax challenges of digitalization have been to the forefront national and international discussions on public revenues in recent years. digital transformation is seen as being an exacerbating factor erosion bases shifting profits low jurisdictions, particularly by multinational companies, thus reducing for governments. While there a large literature examining role ICT raising economic growth, productivity other macroeconomic variables, relationship between has relatively understudied – despite one key drivers what could be most significant change rules century. This study utilizes panel data covering OECD countries during period from 1995 2018, examines effect rise employing both static dynamic analysis techniques. findings indicate that may negative impact ability country with high dynamics generate higher returns. JEL Codes: H20, H25, L81, L86 Keywords: digitalization, taxation, revenues, ICT,