Credit and Deferral as International Investment Incentives

The section shows that some of the standard views ( Hartman , 1985 ) of the investments incentives facing mature subsidiaries no longer hold if tax laws are enforced in this way , since the marginal investment decision turns , in part ...

Credit and Deferral as International Investment Incentives

The US government taxes the foreign income of American firms, using a system that grants credits for foreign taxes paid and permits tax deferral for unrepatriated income. This paper shows that the tax system encourages firms to restrict their equity stakes in new foreign investments, and to finance their new investments with considerable debt. These incentives are strongest for US investments in low-tax foreign countries, and exist even when transfer price regulation effectively limits the profit rates foreign subsidiaries can earn. The behavior of US multinationals in 1984 appears to reflect these tax incentives.

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Credit and Deferral as International Investment Incentives
Language: en
Pages: 33
Authors: James R. Hines
Categories: Foreign tax credit
Type: BOOK - Published: 1992 - Publisher:

The US government taxes the foreign income of American firms, using a system that grants credits for foreign taxes paid and permits tax deferral for unrepatriated income. This paper shows that the tax system encourages firms to restrict their equity stakes in new foreign investments, and to finance their new
Real Options and Investment Incentives
Language: en
Pages: 119
Authors: Gunther Friedl
Categories: Business & Economics
Type: BOOK - Published: 2007-03-07 - Publisher: Springer Science & Business Media

This work analyzes the problem of delegated decision-making within firms when investment projects are characterized by the possibility to make subsequent decisions after the initial investment decision has been made. By analyzing this question, the monograph combines and unifies two important lines of literature: on the one hand the literature
Investment Incentives
Language: en
Pages: 143
Authors: J. B. Bracewell-Milnes
Categories: Business & Economics
Type: BOOK - Published: 2013-11-21 - Publisher: Springer

Modern society cannot function without a high level of investment, just as it cannot function without a high level of taxation (or its equivalent in communist countries). Both investment and taxation (as a source of government revenue) are important for the level of production and employment. No wonder then that
Rethinking Investment Incentives
Language: en
Pages: 368
Authors: Ana Teresa Tavares-Lehmann, Perrine Toledano, Lise Johnson, Lisa Sachs
Categories: Business & Economics
Type: BOOK - Published: 2016-07-12 - Publisher: Columbia University Press

Governments often use direct subsidies or tax credits to encourage investment and promote economic growth and other development objectives. Properly designed and implemented, these incentives can advance a wide range of policy objectives (increasing employment, promoting sustainability, and reducing inequality). Yet since design and implementation are complicated, incentives have been
Savings and Investment Incentives
Language: en
Pages: 583
Authors: United States. Congress. Senate. Committee on Finance. Subcommittee on Savings, Pensions, and Investment Policy
Categories: Capital gains tax
Type: BOOK - Published: 1981 - Publisher:

Books about Savings and Investment Incentives