In this paper we analyze the impact of various minimum taxation concepts oncorporate investment decisions. These investments can be realized in the form ofeither a real or a financial investment. In a quantitative analysis we refer to thefuture values of the investments as an indicator of...

The components of a European tax system with CCCTB or ETAS differ significantly. Nevertheless,we can perform a comparison in the chosen model framework. We determine theminimum required minimum pre-tax rate of return of a real investment in comparison to afinancial investment within a...

From a tax planner’s point of view, it is often attractive to choose debt over equity finan-cing. As this has led to an increase of debt financing of corporations, many countries haveintroduced thin capitalization rules to secure their tax revenues. We analyze the influenceof section 8a of the...

Analysis of investment decisions under uncertainty does not provide a general analytical description ofinvestor reactions towards profit tax rate changes. We use a real option model and find distorting taxtreatment of risk-free and risky investment. We analytically identify general paradoxical...

An alternative minimum tax (AMT) is often regarded as desirable. We analyze a wealthtax at corporate and personal level that is designed as an AMT as proposed by the GermanGreen Party. This wealth tax is imputable to profit taxes and is hence intended to preventmultiple (multistage) taxation....

In entrepreneurial decisions making uncertain future prots often are a maincharacteristics of real investment opportunities. If investors can react touncertainty the degree of irreversibility and timing flexibility inherent in theavailable project should be integrated into the decision calculus....

The contribution Bach, Corneo and Steiner (2008) has argued that \therich" do not pay taxes adequately in relation to their income, nding, for instance, aneective tax rate of only 38.1% for the 0.001% fractile of German income taxpayers in2001. This result contrasts sharply with the legislated...

This paper proposes the introduction of a consumption-based corporate income tax in the European Union. Our proposal would guarantee neutrality regarding investment decisions and at the same time increase cost-efficiency. The proposal is based on the S-base cash flow tax, where transactions...

Traditional models of capital budgeting including taxes are based on deterministic tax ratesand tax bases. In reality, however, there are multiple sources of tax uncertainty. Tax reformsinduce frequent changes in both tax rates and tax bases, making future taxation of investmentsa stochastic...

The internationalisation of financial accounting and the European Commission’s ambition toharmonise corporate taxation have raised the question whether IFRS accounts could be usedfor tax purposes. In order to quantify the effect of an IFRS-based taxation on corporate taxburdens in different EU...