The Organisation for Economic Co-Operation and Development (OECD) recently proposed an interest barrier to fight tax base erosion and profit shifting (BEPS). We use the introduction of such an interest deductibility restriction in Germany as a quasi-experiment and find significant corporate...

The theoretical literature suggests that when taking tax effects into account, debt ought to be preferable to equity. However, there are no uniform predictions of the size of this tax benefit (tax shield) in comparison to an opposing increasing cost of debt (especially insolvency costs). The...

Mehr Arbeitsplätze im unteren Bereich des Arbeitsmarktes werden häufig durch die hohe Steuerbelastung verhindert. Derhalb wurden in mehreren europäischen Ländern Initiativen gestartet, um in diesem Teil des Arbeitsmarktes neue Arbeitsplätze zu schaffen. In diesem Artikel werden diese...

During the last decade, several EU countries have tried to tackle unemployment and low activity rates through extensive tax cuts. In an effort to encourage the taking up of work - especially amongst the less productive workers - policymakers have shown increasing interest in targeted tax and...