Taxes and the Choice of Organizational Form by Entrepreneurs in Sweden

Arbeitspapier

This paper makes use of individual data for 2004 to 2008 on owners of closely-held businesses in Sweden to estimate the role of both tax and non-tax determinants in the choice to be a closely-held corporation vs. a proprietorship. While lower-income individuals face relatively neutral incentives, higher income households face strong tax incentives to be corporate. The data suggest a strong response to these tax incentives. Many conventional non-tax determinants are confirmed in the data as well.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: IFN Working Paper ; No. 907

Classification and Topics

• Classification: Wirtschaft ; Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill ; Corporate Finance and Governance: Government Policy and Regulation ; Business Taxes and Subsidies including sales and value-added (VAT)
• Subject: Self-employment ; Entrepreneurship ; Taxation of closely-held businesses ; Business organizational form ; Körperschaftsteuer ; Eigentümerstruktur ; KMU ; Schweden

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Edmark, Karin ; Gordon, Roger
• Event: Veröffentlichung
• (who): Research Institute of Industrial Economics (IFN)
• (where): Stockholm
• (when): 2012

Further information

• Handle: http://hdl.handle.net/10419/81454
• Last update: 10.03.2025, 11:41 AM CET