publication . Doctoral thesis . Article . 2013

Relative Valuation of Alternative Methods of Tax Avoidance

Kerry K. Inger;
Open Access
  • Published: 01 Sep 2013
  • Publisher: Virginia Tech
  • Country: United States
Abstract
This paper examines the relative valuation of alternative methods of tax avoidance. Prior studies find that firm value is positively associated with overall measures of tax avoidance; I extend this research by providing evidence that investors distinguish between methods of tax reduction in their valuation of tax avoidance. The impact of tax avoidance on firm value is a function of tax risk, permanence of tax savings, tax planning costs, implicit taxes and contrasts in disclosures of tax reduction in the financial statements. My empirical results suggest that tax avoidance resulting from stock option tax benefits is positively associated with firm value, acceler...
Subjects
ACM Computing Classification System: ComputingMilieux_LEGALASPECTSOFCOMPUTINGComputingMilieux_GENERAL
free text keywords: Tax Avoidance, firm value, corporate governance, Accounting, Finance, Microeconomics, Deferred tax, Economics, Value-added tax, Monetary economics, Indirect tax, Tax reform, Tax credit, Ad valorem tax, Tax haven
Any information missing or wrong?Report an Issue