Summary This paper analyzes the impact of corporate taxation on a firm’s debt policy. We contribute to the existing literature in two ways: (i) we explicitly model persistence in the debt-to-asset ratio, and (ii) we incorporate firm heterogeneity with respect to firm size and legal form....

Summary Forward-looking measures like the well-known effective marginal tax rate developed by King and Fullerton (1984) rely strongly on standardized assumptions on the effective use of depreciation deductions. This paper derives a method of assessing these assumptions empirically and of...

Purpose – The purpose of this paper is to establish whether inefficiency in a tax system and the likely difficulty in resolving tax matters can reduce the appeal for tax shield as incentive for debt financing, and by so doing exacerbate the cases of tax fraud. Design/methodology/approach – A...

Purpose – The purpose of this paper is to examine the extent of corporate tax evasion and its implications on the protection of the shareholders and on the function of the capital market. Design/methodology/approach – The extent of tax evasion of the Greek public companies is estimated on...

Purpose – The purpose of this paper is to assess the market impact of announcements that publicly traded limited liability firms would convert to business income trusts, and to test the robustness of the tax motive as the primary determinant of any conversion announcement effects by estimating...

Purpose – The purpose of this paper is to examine the effect of institutional environment and inside ownership on the tax reporting practices of Chinese listed firms. Design/methodology/approach – It is an empirical study using a sample of Chinese listed firms for eight years of time periods...

Purpose This study aims to contribute to the debate about the place of corporate taxation in corporate social responsibility (CSR) by reviewing the present state of research, offering a comprehensive understanding of the content and dimensions of corporate tax responsibility (CTR) and discussing...

Montana’s legislature meets once every two years and constructs a two-year budget. The legislature did not meet in 2010. This paper reflects changes and updates to the 2009 biennium budget, which includes many of the problems faced by the state caused by the economic recession. The most...

Abstract Contemporary scholars argue that high wealth donors in the U.S. influence political decision making through generous funding of nonprofit organizations like think tanks. In response to that potential influence, some endorse curbs on implicit subsidies that favor higher-income donors...