Reducing leverage in firms has been a goal since the financial crisis of 2007-2008. To reduce debt bias multiple tax based policies have been proposed and implemented with many deviations. CBIT, ACE and TCR aim to limit leverage with different approaches. The outcome of these policies is not homogenous for all group of firms. Financial firms and especially banks can show undesired behavior if certain conditions are met. To maximise the effect of the policies, a careful calibration is needed. To study this behavior we collected a unique dataset comprising information on corporate tax rates and policies like CBIT, ACE and TCR.

Vries, C.G. de
Business Economics
Erasmus School of Economics

Rijn, Arjan van. (2021, May 10). Corporate Debt Structure: An analysis of different tax policies on banks, non-bank financial firms and non-financial firms. Business Economics. Retrieved from