Speaker: Alberto Zanardi , Università di Bologna e Consiglio Direttivo dell'Ufficio Parlamentare di bilancio
Title: Taxes and Capital Structure: Evidence from a Quasi-Natural Experiment
Abstract: This paper analyses the effects of corporate tax system on companies’ capital structure, taking advantage of the quasi-natural experiment provided by a surprise announcement of a corporate tax surcharge on Italian firms operating in oil and energy sectors. The analysis is based on a panel data set covering the period 2006-2010. We find only weak evidence that corporations have reacted to the sharp increase in the tax rate by increasing leverage.