Corporate Effective Tax Rate

Brief Literature Review

  • Gisela Pinto Oliveira ISCA-UA, University of Aveiro, Portugal
  • Sérgio Cruz ISCA-UA, University of Aveiro, Portugal
  • Vera Silva ISCA-UA, University of Aveiro, Portugal
Keywords: Corporate Income Tax, Effective Tax Rate, Nominal Tax Rate


Given the model of partial dependence between accounting and taxation, the nominal tax rate tells nothing about the tax burden borne by companies`. Therefore, the effective tax rate is, an indicator to be considered by stakeholders when making decisions once it represents the tax burden that the company bears during the period. This paper aims to present a brief literature review on the effective corporate tax rate, emphasizing its determinants, namely the size, the leverage, the capital intensity, the stock intensity, and the return on assets. With this paper, there was detected evidence of a significant relationship between the effective tax rate and the determinants analysed.

How to Cite
Oliveira, G., Cruz, S., & Silva, V. (2022). Corporate Effective Tax Rate. International Journal of Business Innovation, 1(4), e30267.