Cook, Kirsten; Ma, Tao; Zhao, Yijia (Eddie) - In: Advances in taxation, (pp. 1-42). 2020
This study examines how creditor interventions after debt covenant violations affect corporate tax avoidance. Using a regression discontinuity design, we find that creditor interventions increase borrowers' tax avoidance. This effect is concentrated among firms with weaker shareholder governance...
