Proximity and the Management of Innovation

March 22, 2022
White Paper

UNC Tax Center Research Scholars Stephen Glaeser and Eva Labro in addition to Chloe Glaeser, UNC Assistant Professor of Operations, will have their research published in Management Science. Their research examines the tax incentives that encourage firms to locate R&D facilities away from corporate headquarters and the consequences this has on productivity. More

Tax Planning Knowledge Diffusion via the Labor Market

May 12, 2021
Working Paper

This paper examines the extent to which the labor market facilitates the diffusion of tax planning knowledge across firms. Using a novel dataset of tax department employee movements between S&P 1500 firms, the researchers find that firms experience an increase in their tax planning after hiring a tax employee from a tax aggressive firm. This finding is robust to various research designs and specifications. More

Tax Reform Made Me Do It!

November 29, 2018
Working Paper

This paper examines corporations’ actions, and statements about actions, following the tax law change known as the Tax Cuts and Jobs Act (TCJA). Specifically, we examine four different outcomes — bonuses (or other actions that benefit workers), announcements of new investments, share repurchases, and dividend announcements. More

Strategic Subsidiary Disclosure

March 10, 2018
Working Paper

We use data multinational firms provide to the Internal Revenue Service regarding their foreign subsidiary locations to explore whether some firms fail to publicly disclose subsidiaries in some countries, even when the subsidiaries are significant and should be disclosed per Security and Exchange Commission rules. More

U.S. Firms on Foreign (Tax) Holidays

August 17, 2017

We undertake the first large-sample examination of foreign tax holiday participation among U.S. corporations. Tax holidays are temporary reductions of tax granted by governments, usually in conjunction with new business investment. More

Shareholder Wealth Effects of Border Adjustment Taxation

April 24, 2017

We examine the effects of a proposed border adjustment tax on the share prices of publicly traded firms. Border adjustment refers to exempting export revenue from taxation while also disallowing deductions for the cost of imports, and has been proposed as a potential U.S. corporate tax reform. More

The Taxman Cometh: Does Tax Uncertainty Affect Corporate Cash Holdings?

March 31, 2017

We examine whether firms hold more cash in the face of tax uncertainty. More

Is the Market Grossed out by Gross-Ups? An Investigation of Firms that Pay Their CEOs’ Taxes

January 23, 2017

This study provides evidence on whether investors value tax gross-up provisions for executives, and how the elimination of these provisions changes executive compensation. More

Public Tax-Return Disclosure

December 20, 2016

We investigate the effect of public disclosure of information from corporate tax returns filed in Australia on consumers, investors, and the corporations themselves that were subject to disclosure. More

Banks as Tax Planning Intermediaries

December 15, 2016

We provide the first large-sample evidence of banks playing an important role in facilitating tax planning of their client firms. More