Author: Mark L. StarcherPublisher:
ISBN:
Category : Corporations
Languages : en
Pages : 128
Book Description
Quantifying the Impact of the Tax Reform Act of 1986 on Effective Corporate Tax Rates
Author: Mark L. StarcherPublisher:
ISBN:
Category : Corporations
Languages : en
Pages : 128
Book Description
Impact, Effectiveness, and Fairness of the Tax Reform Act of 1986
Author: United States. Congress. House. Committee on Ways and MeansPublisher:
ISBN:
Category : Capital gains tax
Languages : en
Pages : 1214
Book Description
Tax Reform Act of 1986: Economic impact of H.R. 3838
Author: United States. Congress. Senate. Committee on FinancePublisher:
ISBN:
Category : Income tax
Languages : en
Pages : 276
Book Description
The Impact of the Tax Reform Act of 1986
Author: Publisher:
ISBN:
Category : Government publications
Languages : en
Pages : 268
Book Description
Non-neutral Taxation and the Efficiency Gains of the 1986 Tax Reform Act
Author: Jane GravellePublisher:
ISBN:
Category : Business enterprises
Languages : en
Pages : 60
Book Description
The Tax Reform Act of 1986 considerably altered the differentials between taxes on corporate and noncorporate capital. Conventional wisdom, relying on various incarnations of the Harberger model, suggests rather small efficiency effects from these changes in corporate tax wedges. But the Harberger models appear to understate greatly the efficiency effects of changes in the corporate tax wedge because they do not admit production of the same good by both corporate and noncorporate firms. A new model which allows corporate and noncorporate firms to coexist within the same industry suggests a significant efficiency gain from the Tax Reform Act. The model predicts that the new law reduced excess burden by at least $31 billion and eliminated about half of the total distortion from non-neutral taxation. Most of this gain occurs because the Tax Reform Act, while keeping the aggregate effective tax rate constant, considerably narrowed these differentials in industries where there is substantial noncorporate production.
The Tax Reform Act of 1986
Author: Gary S. OlsonPublisher:
ISBN:
Category : Income tax
Languages : en
Pages : 48
Book Description
Effects of the Tax Reform Act of 1986 on Corporate Financial Policy and Organizational from
Author: Roger Hall GordonAn Empirical Study of the Effect of the Tax Reform Act of 1986 on Economic Efficiency as Measured by Average Effective Tax Rates
Author: Joseph Martin HaganPublisher:
ISBN:
Category : Corporations
Languages : en
Pages : 444
Book Description
Tax Reform and the U.S. Economy
Author: Henry J. AaronPublisher:
ISBN:
Category : Business & Economics
Languages : en
Pages : 126
Book Description
Firms' Responses to Anticipated Reductions in Tax Rates
Author: Myron S. ScholesPublisher:
ISBN:
Category : Business enterprises
Languages : en
Pages : 62
Book Description
The 1986 Tax Act in the U.S. gradually reduced corporate tax rates from 46 percent prior to the Act to 34 percent by the middle of 1988. This reduction gave firms an incentive, in 1986 and 1987, to shift taxable income to future years when tax rates would be lower. There are substantial impediments, however, to shifting taxable income across periods (notably, offsetting tax consequences to other contracting parties and a host of nontax costs), and it becomes an empirical question as to whether the benefits of shifting taxable income are sufficient to overcome the impediments. This paper examines whether firms deferred income recognition and/or accelerated expense recognition in anticipation of these declining tax rates. We find statistically significant evidence that firms shifted gross margin from the quarter immediately preceding and anticipated decrease in tax rates to the next quarter. We estimate that, on average, the 812 firms in our sample saved approximately five hundred thousand dollars in taxes by deferring sales. At a gross margin rate of one-third, this amounts to nearly twenty billion dollars of shifted sales for our sample firms.