The Announcement Effects of the Corporate Income Tax Rate Cut in Taiwan

• Main Authors: Chiu, Chien–Chun, 邱建俊
• Other Authors: Wang, Sue–Fung
• Format: Others
• Language: zh-TW
• Published: 2011
• Online Access: http://ndltd.ncl.edu.tw/handle/68498127937612365016

碩士 === 國立交通大學 === 管理學院財務金融學程 === 99 === This thesis uses standard event study methodology to examine the announcement effects of the companies listed on Taiwan Stock Exchange (TSE) and Over the Counter (OTC) on the corporate income tax rate cut from 20% to 17% which was announced on April 12, 2010. The listed companies had the higher effective tax rate for the past years are positive on the abnormal returns and the cumulative abnormal returns in the event period, and its results as significant as expected. When the market received the message about corporate income tax cut from 20% to 17%, the listed companies had a high proportion of deferred income tax assets on the cumulative abnormal returns was positive, not negative as expected. However, when the market received the message about corporate income tax cut from 20% to 17%, the listed companies had a high proportion of deferred income tax liability on the cumulative abnormal returns was positive, and its results as significant as expected.