ASSESSMENT OF THE IMPACT OF TAXATION RATES ON THE INTERCORPORATE INVESTMENTS

The article studies the impact of taxation rates on the investment of legal entities in the stock market. A significant negative link has been identified between the changes of the marginal tax rate (далее — MTR) on the income of individuals from the capital gains and the changes in the inter-corporate investments, while such link has not been revealed for changes in ordinary or dividend MTR for individuals. The corporate sector responds to the after-tax return rate and/or the market efficiency consequences provoked by the MTR on the income of individuals from capital gains. A significant positive link has been found between the changes in the inter-corporate investments and the changes of the MTR for ordinary income of legal entities.

corporate investments, liquid securities, taxation rates, capital gain, tax optimization, inter-corporate investments, investment, personal income, income of legal entities, rate of return.

Lantseva T. G., Sinitsyna T. V. Assessment of the impact of taxation rates on the intercorporate investments // Business. Education. Law. Bulletin of Volgograd Business Institute. 2017. No. 2 (39). P. 165–175.