TY  - RPRT
U1  - Arbeitspapier
A1  - Knauer, Alexander
A1  - Lahmann, Alexander
A1  - Schwetzler, Bernhard
T1  - Debt-related tax shields and private equity: myth or reality?
N2  - In this paper we address the magnitude of debt-related tax shields employing a proprietary data set of 56 German leveraged buyouts (LBOs) completed between 1997 and 2011. In particular we examine the relevance and performance contribution of tax shields under different financing policies, and the economic impact of limiting tax-deductible interest based on the new tax code introduced in 2008 in Germany. We highlight that LBO tax shields are significant in terms of size, but there is little evidence for a significant performance contribution. Our results suggest that the economic impact from limiting tax-deductible interest in Germany is low for LBOs.
Y1  - 2013
N1  - Available at SSRN (Social Science Research Network), for the link see below
ER  -