This paper argues that forward-looking indices of the effective tax burden on income from capital, namely effective marginal and average tax rates, are negatively biased because traditional models overlook dividend constraints associated with financial tax incentives, such as accelerated...

This paper examines the response of private firms and their shareholders to a dividend tax increase, which affects only a small group of shareholders. Using an exogenous shock in Germany, my results suggest that firms do not adjust their payout policy but corporate minority shareholders, the...

This paper examines CEO behavior in response to within-firm pay inequality. Using CEO-median employee pay ratio data mandated by the SEC, the study reveals that following the release of pay ratio disclosures, CEOs with higher pay ratios tend to issue higher dividend payments as a strategy to...

Individuals with an Anglo-Saxon cultural background are customarily considered to be less risk-averse than other individuals. The validity of this assumption appears to be borne out in the world of corporate finance. We investigate the risk-related corporate decisions of the board of directors,...

As corporate payouts to shareholders reach record high levels and garner the attention of policymakers, understanding their causes and consequences is more important than ever. This chapter surveys the academic literature on repurchases, with a particular emphasis on research undertaken in the...

We study the effect of tax policy on stock market returns in the United States, Germany, and the United Kingdom using GARCH models and a unique daily dataset of legislative tax changes during the period 1 December 1978 to 31 January 2018. We find that days of discretionary tax legislation during...

The traditional avoidance literature undeservedly neglects tax base distribution as a factor affecting the avoidance price, and generally assumed to be equal to the avoidance cost. In reality, avoidance providers are usually either high-skilled specialists or insiders. The strong collusion thus,...

As companies seek to expand their operations, globally, a major regulatory bottleneck they encounter is that of Double Taxation. This portends a sort of nauseating feeling for investors who might find the tax burden too heavy to bear. Issues ranging from tax avoidance to outright evasion have...