The Impact of Taxation on the Capital Budgeting Decision of Companies

Abstract

In recent decades a vast amount of academic ink has been spilled in theorising as to how companies should go about making capital investment decisions. Comparable effort has been expended in carrying out surveys to ascertain whether the academic prescriptions are being followed in practice. However, consideration of the theoretical and actual roles of taxation in the capital budgeting decision have formed a relatively small part of these deliberations. The purpose of this paper is to consider these roles.

Citation

Kennedy, J.A. and Sugden, K.F. (1987), "The Impact of Taxation on the Capital Budgeting Decision of Companies", Managerial Finance, Vol. 13 No. 3/4, pp. 8-15. https://doi.org/10.1108/eb013586