TAX EFFECTS ON HIGH-TECH INNOVATION PROJECTS FINANCED BY MEANS OF THE LOAN CAPITAL

Theoretical bases of innovatics
Authors:
Trifonov Yuriy V. Yashin Sergey N Koshelev Egor V.
Abstract:

Joint influence on NPV of the high-tech innovative project depreciation (D), tax (T) and debt (Debt) of levers is investigated. It is shown that for projects with the high DTD-leverage with an increase in the income tax rate NPV of the project at first increases and then decreases, suggesting that there is an optimum tax rate for the investor.