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Treasury Management

Why Debt Won’t Go Away...Even Under Proposed Tax Changes

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May 03, 2017

Tax changes under President Trump could lead to reduced tax deductibility on debt but Deutsche Bank believes it may only have a limited long-term impact on how most companies use debt in their capital structure.

The Trump Administration and Congress have been discussing tax reform that promotes the benefits of a lower marginal corporate tax rate—particularly in motivating companies to not only stay in the US but to also increase investments and employment.

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