Work

Dissecting dividend decisions: some clues about the effects of dividend taxation from recent UK reforms

Year: 2005

Type: paratext

Abstract: We present empirical evidence which suggests that a big increase in dividend taxation for UK pension funds in July 1997 affected the form in which some UK companies chose to make dividend payments, but otherwise had limited effects on both the level of dividend payments and the level of investment. These findings are consistent with a version of the 'new view' of dividend taxation. We also identify a group of firms whose dividend choices are difficult to reconcile with (stock market) value maximisation.

Source: Working paper series - Institute for Fiscal Studies/Working papers

DOI: 10.1920/wp.ifs.2005.0517

Authors: Michael Devereux, Alexander Klemm, Stephen Bond

Institutions: Institute for Fiscal Studies, University of Warwick, University College London, University of Oxford

Language: English

Topic: Corporate Finance and Governance

Subfield: Accounting

Field: Business, Management and Accounting

Domain: Social Sciences

Open Access status: green

Funder: Economic and Social Research Council

OpenAlex ID: W1898296276

Cites: 14

Cited by: 19

Related to: 10