scholarly journals Tax Incentives and Business Investment: Evidence from German Bonus Depreciation

2014 ◽  
Author(s):  
Sebastian Eichfelder ◽  
Kerstin Schneider
Keyword(s):  
Tax Incentives ◽  
Business Investment ◽  
Bonus Depreciation

POLICY MATTERS: TAX INCENTIVES FOR BUSINESS INVESTMENT

2013 ◽  
Vol 8 (1) ◽  
Author(s):  
Nargiza Yakubova
Keyword(s):  
Empirical Evidence ◽  
Transition Economy ◽  
Tax Incentives ◽  
Investment Incentives ◽  
Costs And Benefits ◽  
Investment Performance ◽  
Business Investment ◽  
Transitional Countries

The purpose of this paper is to analyze the effects of the use of tax incentives on business investment performance in developing and transitional countries based in best international practices and some empirical evidence. The reasons are overviewed and, the costs and benefits of introduction of tax incentives are examined. The empirical evidence of effectiveness of tax investment incentives is studied in countries such as China, India, Russia, Uzbekistan. The conclusions are drawn, and recommendations are given on further implication of tax investment incentives in countries with transition economy. 

Tax Incentives and Business Investment

2006 ◽  
Author(s):  
Arturo Ramirez Verdugo
Keyword(s):  
Tax Incentives ◽  
Business Investment

A NOTE ON THE BUSH TAX CUTS: DID THEY SUCCEED IN STIMULATING BUSINESS INVESTMENT?

2016 ◽  
Vol 20 (6) ◽  
pp. 1623-1639
Author(s):  
Ky-hyang Yuhn ◽  
Christopher S. Bennett
Keyword(s):  
Regression Models ◽  
Tax Incentives ◽  
Intervention Analysis ◽  
Investment Incentives ◽  
Budget Deficits ◽  
Tax Reforms ◽  
Business Investment ◽  
Relevant Variables ◽  
Investment Spending ◽  
Tax Cuts

Traditional regression models have reported conflicting results on the effectiveness of tax incentives in stimulating business investment. This study investigates the effects of the Bush tax cuts on U.S. investment using intervention analysis in conjunction with regression analysis that controls for relevant variables. Although intervention analysis has the advantage of allowing the behavior of investment to be influenced only by the time path of exogenous shocks such as tax reforms, control variables can test for the robustness of the results. We have found that the two tax reforms enacted in 2001 and 2003 had little impact on marginal investment incentives. The intervention analysis results are further reinforced by the evidence provided by alternative regression models that control for a host of variables. The failure of the tax reforms to stimulate investment spending may be attributable to several factors, such as a global savings glut, cheap global money, inappropriate designs for tax incentives, and budget deficits.

Tax, Incentives and Small Business Investment

1987 ◽  
Vol 5 (4) ◽  
pp. 23-33 ◽  
Author(s):  
Eleanor J. Morgan
Keyword(s):  
Small Business ◽  
Tax Incentives ◽  
Business Investment

Tax Incentives for Business Investment: A Primer for Policy Makers in Developing Countries

2002 ◽  
Vol 30 (9) ◽  
pp. 1497-1516 ◽  
Author(s):  
Howell H Zee ◽  
Janet G Stotsky ◽  
Eduardo Ley
Keyword(s):  
Developing Countries ◽  
Tax Incentives ◽  
Business Investment ◽  
Policy Makers

scholarly journals Temporary Investment Tax Incentives: Theory with Evidence from Bonus Depreciation

2006 ◽  
Author(s):  
Christopher House ◽  
Matthew Shapiro
Keyword(s):  
Tax Incentives ◽  
Bonus Depreciation

Demand for tax instruments encouraging capital investment by Russian organizations

2020 ◽  
Vol 26 (8) ◽  
pp. 1846-1869
Author(s):  
N.V. Pokrovskaya ◽  
A.A. Razuvaeva
Keyword(s):  
Income Tax ◽  
Capital Investment ◽  
Significant Proportion ◽  
Tax Incentives ◽  
Tax Base ◽  
Investment Activity ◽  
Fixed Assets ◽  
Accelerated Depreciation ◽  
Bonus Depreciation ◽  
Effectiveness Assessment

Subject. The article addresses tax incentives for capital investment in the framework of corporate income tax, and their effectiveness, estimated as the scale of application of incentive instruments. Objectives. We explore tax instruments intended to boost the investment activity of businesses in Russia, in the context of their demand by Russian organizations. Methods. To estimate the efficiency of tax incentives for boosting investment, we calculate absolute and relative values of reduction in the tax base, according to the data of the Ministry of Finance of the Russian Federation, the Federal Tax Service of Russia, and Rosstat, and the number of companies, using these tax instruments. Results. The set of tax incentives and preferences focused on stimulating the investment activity within the income tax is quite wide, however, their application imposes significant restrictions on taxpayers. The effectiveness of applied tax incentives remains rather low. A relatively modest number of organizations use early depreciation mechanisms for acquired fixed assets to reduce income tax. Bonus depreciation is more common, however, it is applied by a sufficiently low number of taxpayers, although to a significant proportion of newly entered items of property, plant and equipment. Accelerated depreciation, both the declining method of depreciation and increasing coefficients, are used less frequently than bonus depreciation. Conclusions. Prospects for expanding the investment activity of a business can be associated with investment tax deduction. Its effectiveness assessment is possible only in the medium term.

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