Received: 2016-02-10  |  Accepted: 2016-04-20

Title

Assessing the optimal taxation of the capital income: a case of corporate bond market


Abstract

Often taxation is considered as a restriction to any market development, lessening the willingness to effective actions or raising the opportunity costs. Therefore lots of investigations are dedicated to identification of optimal measures in order to satisfy the fiscal needs still encouraging market performance. The purpose of this paper is to identify the impact of capital income taxation on corporate bond market development by using the Laffer curve and tax burden measurements and methods. While theoretical investigations proposed an application of tax exempt to corporate bond transactions, empirical results stated no significant arguments for corporate bond market stagnation to taxation.


Keywords

optimal tax rate, corporate bond, tax burden, Laffer curve


JEL classifications

G17 , H21


URI

http://jssidoi.org/jssi/papers/papers/view/111


DOI

10.9770/jssi.2016.5.4(6)

Authors

Astrauskaitė, Ieva
Vilnius University
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Paškevičius, Arvydas
Vilnius University
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Title

Journal of Security and Sustainability Issues


Issue date

2016


ISSN

ISSN 2029-7017 (print)
ISSN 2029-7025 (online)

Cited

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