A theme we have often mentioned is that capital flows to where it is best treated. Obviously, the level of tax imposed on businesses is a key element of how capital is treated in any given jurisdiction.
A 2010 KPMG guide analyzes the current tax competitiveness of 10 major countries, and 41 major cities in those countries. Among those countries, Mexico provides the best overall tax environment, with Canada following closely in second place. Japan and France find themselves in the highest tax positions at number 9 and 10 respectively. Below is the table published in the report:
Note that the tax competitiveness analysis also includes a currency factor so that the results are not entirely based purely on tax issues.
Below is a listing of the top 10 major cities in the subject jurisdictions. Interestingly, Vancouver has a better tax environment than two Mexican cities, even though Mexico as a country has an overall better tax environment than Canada.
The entire KPMG report can be viewed here.