Corporate tax planning and thin-capitalization rules: evidence from a quasi-experiment

Overesch, Michael; Wamser, Georg

[journal article]

dc.contributor.author	Overesch, Michael	de
dc.contributor.author	Wamser, Georg	de
dc.date.accessioned	2011-04-01T04:38:00Z	de
dc.date.accessioned	2012-08-29T23:08:02Z
dc.date.available	2012-08-29T23:08:02Z
dc.date.issued	2010	de
dc.identifier.uri	http://www.ssoar.info/ssoar/handle/document/24203
dc.description.abstract	This paper investigates tax-planning behaviour by means of inter-company finance and the effectiveness of government countermeasures via thin-capitalization rules. A simple theoretical model which considers the financing decision of a multinational company is used to obtain empirical implications. The empirical analysis, based on German inbound investment data from 1996 to 2004, confirms a significant impact of tax-rate differentials on the use of inter-company debt. The effectiveness of the German thin-capitalization rule is tested by using legal amendments as natural experiments. The results suggest that thin-capitalization rules induce significantly lower internal borrowing. Hence, tax planning via internal finance is effectively limited by thin-capitalization rules.	en
dc.language	en	de
dc.subject.ddc	Wirtschaft	de
dc.subject.ddc	Economics	en
dc.subject.other	Corporate Income Tax; Multinationals; Thin-Capitalization Rule; Difference- in-Differences Estimation; Firm-Level Data
dc.title	Corporate tax planning and thin-capitalization rules: evidence from a quasi-experiment	en
dc.description.review	begutachtet (peer reviewed)	de
dc.description.review	peer reviewed	en
dc.source.journal	Applied Economics	de
dc.source.volume	42	de
dc.publisher.country	USA
dc.source.issue	5	de
dc.subject.classoz	Öffentliche Finanzen und Finanzwissenschaft	de
dc.subject.classoz	Public Finance	en
dc.subject.classoz	Financial Planning, Accountancy	en
dc.subject.classoz	Finanzwirtschaft, Rechnungswesen	de
dc.identifier.urn	urn:nbn:de:0168-ssoar-242033	de
dc.date.modified	2011-04-19T12:00:00Z	de
dc.rights.licence	PEER Licence Agreement (applicable only to documents from PEER project)	de
dc.rights.licence	PEER Licence Agreement (applicable only to documents from PEER project)	en
ssoar.gesis.collection	SOLIS;ADIS	de
ssoar.contributor.institution	http://www.peerproject.eu/	de
internal.status	3	de
dc.type.stock	article	de
dc.type.document	journal article	en
dc.type.document	Zeitschriftenartikel	de
dc.rights.copyright	f	de
dc.source.pageinfo	563-573
internal.identifier.classoz	1090406
internal.identifier.classoz	1090303
internal.identifier.journal	21	de
internal.identifier.document	32
internal.identifier.ddc	330
dc.identifier.doi	https://doi.org/10.1080/00036840701704477	de
dc.description.pubstatus	Postprint	en
dc.description.pubstatus	Postprint	de
internal.identifier.licence	7
internal.identifier.pubstatus	2
internal.identifier.review	1
internal.check.abstractlanguageharmonizer	CERTAIN
internal.check.languageharmonizer	CERTAIN_RETAINED

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Öffentliche Finanzen und Finanzwissenschaft
Public Finance
Finanzwirtschaft, Rechnungswesen
Financial Planning, Accountancy

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