Template-Type: ReDIF-Paper 1.0
Author-Name: Nam T. Vu
Author-X-Name-First: Nam T.
Author-X-Name-Last: Vu
Author-Email: vunt@miamioh.edu
Author-Workplace-Name: Miami University
Author-Name: Kiet Tuan Duong	
Author-X-Name-First: Kiet Tuan	
Author-X-Name-Last: Duong
Author-Email: kiet.duong@york.ac.uk
Author-Workplace-Name: University of York
Author-Name: Luu Duc Toan Huynh	
Author-X-Name-First: Luu Duc Toan
Author-X-Name-Last: Huynh
Author-Email: t.huynh@qmul.ac.uk
Author-Workplace-Name: Queen Mary University of London
Title: Tax Incentives under Sanctions: Evidence from Russian Tax Authorities
Abstract:  We examine how access to tax incentives may serve as a novel channel through which firms can alleviate the effects of economic sanctions. By leveraging the universe of more than eight million unique Russian firm-year observations from 2000 to 2023, we show that firms receiving tax incentives the year prior to the sanctions imposed on Russia in 2014 exhibit higher capital investments and return on assets than firms without such incentives. These improved outcomes are shown to be linked to the corresponding increases in both revenue and profits and a decrease in their overall labor costs ex-post.
Length: 63 pages
Creation-Date: 2025-04
Revision-Date:
Publication-Status: 
Classification-JEL: F51; H25; H71
Keywords: Russian; sanctions; tax incentives
File-URL: http://cgr.sbm.qmul.ac.uk/CGRWP121.pdf
Number: 121
Handle: RePEc:cgs:wpaper:121