The International Monetary Fund (IMF) is set to publish its October 2026 World Economic Outlook, with analytical chapters scheduled for release on October 5 and October 6. The complete report will be available on October 13, 2026, during the IMF's Annual Meetings in Bangkok, Thailand.
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One of the chapters, titled "Intangible Yet Real: Spillovers from Corporate Income Taxation," will explore the impact of globalization, the rise of multinational corporations, and the increasing significance of intangible assets on corporate income taxation and cross-border economic effects.
Key findings of the chapter indicate that the transformation in corporate income taxation is influenced by these factors. Anti-avoidance rules are noted to have diminished incentives for profit shifting, and real investment now shows greater sensitivity to differences in tax rates. The alignment of profits and economic activity is reportedly improving, with the global consequences of corporate tax policy changes varying according to their financing.
For instance, debt-financed tax cuts are found to support domestic activity but may lead to negative short-term spillovers abroad. Over the long term, however, such policy changes can yield positive spillovers via cross-border knowledge transfers.
The chapter emphasizes the need to protect public investment capabilities, particularly in emerging markets and developing economies, which may be constrained by reduced revenues following tax policy adjustments. There is a strong recommendation for enhancing anti-avoidance frameworks to reduce the incentives for profit shifting and align profits more closely with actual economic activity, taking into account both domestic and cross-border impacts.
Additional materials available include online annexes and data related to Chapter 3, accessible in various formats.