distinguish between Real Tax Effects and Perception Effects when a proportional income tax, with and without a full loss offset … control for the Perception Effects. However, if we consider these effects, we find support for the theory. The isolated …

This paper exploits the tax rate variation generated by the Economic Growth and Tax Reconciliation Act of 2001 (which … reduced ordinary income tax rates) and the Jobs and Growth Tax Relief Reconciliation Act of 2003 (which reduced capital gains … and dividend tax rates) to estimate the effect of taxes on financial portfolio allocations. Using data from the 1998 and …

availability of tax losses to a limited partner is also more limited as compared to a separate account investor. Understanding this … limitation is particularly important for investors in tax-aware funds which tend to allocate net tax losses. In addition …” accounting and shows how these principles apply to investing in tax-aware funds structured as limited partnerships. We argue that …

selling probabilities around an intertemporal tax discontinuity, and no such spikes after the abolishment of the discontinuity …. Using difference-in-bunching methods, non-parametric regressions and effective tax rates, we quantify the tax effect and … strongly affected by the tax discontinuity through tax motivated selling of both gains and losses. …