Taxes and the Location of Targets
Wiji Arulampalam,
Michael Devereux and
Federica Liberini
No 02/2017, Memorandum from Oslo University, Department of Economics
Abstract:
We use firm-level data to investigate the impact of taxes on the international location of targets in M&A allowing for heterogeneous responses by companies. The statutory tax rate in the target country is found to have a negative impact on the probability of an acquisition in that country. In addition, the estimated size of the effect is found to depend on whether (i) acquirer is a domestic or a multinational enterprise; (ii) the acquisition is domestic or cross-border; and (iii) the acquirer's country has a worldwide or territorial tax system
Keywords: Multinational enterprises; cross-border expansion; target choice; corporation income tax; mixed logit (search for similar items in EconPapers)
JEL-codes: C25 G34 H25 H32 (search for similar items in EconPapers)
Pages: 47 pages
Date: 2017-02-28
New Economics Papers: this item is included in nep-acc, nep-cfn and nep-pbe
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)
Downloads: (external link)
http://www.sv.uio.no/econ/english/research/unpubli ... 017/memo-02-2017.pdf (application/pdf)
Related works:
Journal Article: Taxes and the location of targets (2019) 
Working Paper: Taxes and the Location of Targets (2017) 
Working Paper: Taxes and the Location of Targets (2012) 
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:hhs:osloec:2017_002
Access Statistics for this paper
More papers in Memorandum from Oslo University, Department of Economics Department of Economics, University of Oslo, P.O Box 1095 Blindern, N-0317 Oslo, Norway. Contact information at EDIRC.
Bibliographic data for series maintained by Mari Strønstad Øverås ().