October 28, 2022

2022 UNC Tax Summit: A Continuing Education Event for Lawyers and Accountants

UNC Tax Summit - A Continuing Education Event for Lawyers & Accountants. We have gathered some of the most highly respected professionals in the tax and legal industry to discuss the legal implications of tax policy in today's ever-changing environment.

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  • Write-Off: The Tax Blog

    Why do quarters have ridges, and what does it have to do with taxes (and inflation!)

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Recent News & Media

A Few Companies Could Bear Brunt of New Minimum Tax

September 26, 2022

Research by the UNC Tax Center shows just six publicly traded U.S. companies, including Amazon and Warren Buffett’s Berkshire Hathaway Inc., would have paid half the estimated $32 billion in revenue generated by a 15% corporate minimum tax signed into law last month. More

CbC Reporting

What do we know about CbC Reporting?

January 31, 2021

In 2015, to address the lack of data and transparency on corporate taxation and firm tax avoidance strategies, the Organization for Economic Co-operation and Development (OECD) released the Base Erosion and Profit Shifting (BEPS) Action 13 Report which established the annual Country-by-Country Reporting (CbCR) guidelines for multinational enterprises (MNEs). More

TCJA Effects Tracker

The Investors’ Assessment of Cross-Border M&A – Repatriation Taxes, Agency Conflicts and the TCJA

June 30, 2022

This paper analyzes stock market reactions to announcements of cross-border M&A deals before and after the ‘Tax Cuts and Jobs Act of 2017’ (TCJA). Prior literature established that the repatriation tax system resulted in agency conflicts and correspondingly low announcement returns due to excess cross-border acquisitions. The TCJA abolished the repatriation tax. Therefore, M&A decisions by the managers might more closely align with the investors’ perspective post TCJA. Correspondingly, announcement returns could become more positive. However, if managers continue to pursue excess cross-border acquisitions, investors might be particularly dissatisfied because of the alternative option of tax-exempt repatriation post TCJA. In line with excess M&A acquisitions post TCJA, I present evidence that abnormal returns to cross-border M&A announcements by U.S. firms are significantly lower in the period after the TCJA. The effects are concentrated in U.S. acquirers most affected by the repatriation tax prior to the TCJA, in cross-industry deals, and in acquisitions by firms with low leverage and low payout ratios. Overall, my findings suggest that the negative perception of cross-border M&A is driven by agency conflicts not solved by the TCJA. More