marginal tax rates affect the debt policies of Spanish listed companies, and the existence of non-debt tax shields constitutes … an alternative to the use of debt as a tax shelter. Consistent with theoretical expectations, there is a stronger … relation between debt and taxation in less levered firms. Finally, we empirically estimate the impact of the new thin …

tax benefit of debt (net and gross of investor taxes) and the debt ratio. A 10% increase in the net (gross) marginal tax … benefit of debt causes a 1.5% (1.6%) increase in the debt ratio, ceteris paribus. The results are robust to various … specifications like using changes in debt or debt to capital ratios. A significantly positive effect of taxes on the debt ratio can …

This paper analyzes the relationship between corporate taxation, firm age and debt. We adapt a standard model of … faced with. Our model suggests that the debt ratio is positively associated with the corporate tax rate, and negatively with … firm age. Further, we predict that the tax-induced advantage of debt is more important for older than for younger firms. To …

suggest past realization of debt explains most of the current debt level after controlling for endogeneity. We find no … significant association between debt and firm characteristics …

itself mainly in gradual increase in debt ratios with a dominant role of short-term debt, along with the decrease in the …

pricing and intragroup debt financing (through loans and leases) under both separate accounting and formula apportionment. Our …

In this article we use contingent-claim analysis to calculate the effective tax rate (ETR) under corporate debt finance …. In particular, we deal with both pure debt and two of the most well-known hybrid securities, i.e., convertible, and … reverse convertible bonds. We show that: 1) effective taxation crucially depends on the characteristics of debt, and 2 …

multinational firms show that the tax sensitivity of debt is more modest than what one would expect given the incentives for profit … that pertains to the use of debt. …

Tax provisions favoring corporate debt over equity finance ("debt bias") are widely recognized as a risk to financial … amount, affect corporate debt ratios and mitigate financial stability risk. We find that rules targeted at related party … borrowing (the majority of today's rules) have no significant impact on debt bias - which relates to third-party borrowing. Also …