Tax Reform Made Me Do It!
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
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
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
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?
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
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
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
We provide the first large-sample evidence of banks playing an important role in facilitating tax planning of their client firms. More
Tax Distractions: The Effects of Temporary Tax Law on Capital Markets
This paper investigates the extent to which the expiration of a temporary tax law reduces market participants’ ability to understand corporate performance. More
When Does Tax Avoidance Result in Tax Uncertainty?
We investigate the relation between tax avoidance and tax uncertainty, where tax uncertainty is the possibility of losing a claimed tax benefit upon challenge by a tax authority. More