Please use this identifier to cite or link to this item:
http://dspace.mediu.edu.my:8181/xmlui/handle/10419/18885| Title: | Wide vs. narrow tax bases under optimal investment timing |
| Keywords: | H32 H25 ddc:330 corporate taxation open economy timing and real options Körperschaftsteuer Unternehmensbesteuerung Steuerbemessung Steuerliches Anrechnungsverfahren Investition Realoption Betriebliche Terminplanung Theorie |
| Issue Date: | 16-Oct-2013 |
| Publisher: | |
| Description: | This article compares an ACE system with a CBIT system in an open economy. Using a realoption approach we show that, if a firm can decide when to invest, a tradeoff is found. According to traditional wisdom, a high-income firm investing in an ACE system faces a heavier tax burden at each instant. On the other hand, it finds it optimal to invest earlier, thereby enjoying a longer stream of income. If, given the same tax burden, the latter effect is great enough, the firm will prefer the ACE system. In this article we also run a simulation which shows that preference for an ACE system is a realistic result. |
| URI: | http://koha.mediu.edu.my:8181/xmlui/handle/10419/18885 |
| Other Identifiers: | http://hdl.handle.net/10419/18885 ppn:393237257 |
| Appears in Collections: | EconStor |
Files in This Item:
There are no files associated with this item.
Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.