Taxation as an Enabler for International Business with Focus on Essence of Conducive Tax Policies

The present study aims at unveiling the deliberate tax policies which countries can employ with an aim of enhancing international business across the globe. The study used secondary data that was carefully vetted by subject matter experts and obtained from reliable journal databases. To find the pertinent research publications, search terms were utilized. An established set of inclusion and exclusion criteria was utilized to evaluate the articles for appropriateness. The research validates the significance of tax policies in facilitating international trade at global level. In particular, taxation impacts the degree of foreign direct investments, imports, and exports either positively or negatively depending on the prevailing tax policies. The study reveals that tailor-made tax incentives induce cross-border trade. In particular, synthesis of extant literature reveals the essence of the following tax policies in promoting international business: Tax reductions, tax holidays, tax regulations, and tax treaties. The study has therefore called upon local tax administrators to consider promoting international business through development and implementation of conducive tax policies. This paper is unique in that it contributes to the enhancement of international business through development and implementation of tailor-made tax policies. It makes a substantial contribution to pertinent knowledge for promoting cross-border trade through fair tax policies.