This paper investigates the usage, determinants and earnings effect of special purpose entities based on a large sample of firms from 1994 to 2004. We find that SPE use has grown substantially in recent years and that the number of SPEs is related to economic motivations, financial reporting...

The purpose of this paper is to provide empirical evidence on the joint effects of apportionment and tax incentives on new capital expenditures. Specifically, we examine whether states with lower property factor weights in their apportionment formulae and/or lower corporate tax rates experience...

The U.S. Ramp;D credit has always been incremental in nature, providing a credit for qualified Ramp;D expenses exceeding some base amount. Originally, the base amount was the average of the previous three years' Ramp;D expenses (i.e., a moving average). After heavy criticism that the credit's...

Money attitudes or an individual's feelings towards money is an important factor in determining their financial behavior and financial wellbeing. A large section of the Indian population faces financial stress due to low incomes and a lack of financial education. It is important to understand...

This paper investigates whether an increase in the R&D tax credit rate stimulates firms' incremental R&D spending. We find that the increase in the credit rate has a positive effect on the R&D spending of high-tech firms with taxable status, but does not have the same positive effect on non-high...

Using a new hand-collected database on state department of revenue (DOR) expenditures, this study examines the association between changes in state corporate tax enforcement expenditures and state-level tax collections during the 2000-2008 time period. The results, after addressing endogeneity...