ASSESSMENT OF THE IMPACT OF EFFECTIVE TAX RATES ON CAPITAL IN THE AGRICULTURAL SECTOR
Zhodnotenie vplyvu efektívnych daňových sadzieb na kapitál v poľnohospodárstvom odvetví
Published: 17.11.2025
https://doi.org/10.24040/aap.2025.22.spec.iss.1-11
Abstract: Effective tax rates reflect the real tax burden on enterprises under existing tax legislation. This study examines agricultural capital taxation through EATR and EMTR, using the Devereux–Griffith methodology adapted to Slovak conditions for 2004 and 2022. The analysis identifies the tax depreciation shield and post-tax economic rent, comparing them through the EATR–EMTR relationship across asset types. Results show that shorter-lived assets yield higher tax savings, debt financing offers a tax advantage (negative EMTR) and equity financing increases EMTR, especially for long-lived assets. The growing EATR–EMTR gap suggests declining tax neutrality of new investments.
Keywords: effective tax rates, EATR, EMTR, tax depreciation shield, agricultural assets
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How to cite:
ANDREJOVSKÁ, A. and ULIČNÝ, Š. Assessment of the impact of effective tax rates on capital in the agricultural sector. Acta aerarii publici. Online. vol. 22 (2025), special issue, pp. 1 – 11. Available from: https://doi.org/10.24040/aap.2025.22.spec.iss.1-11 [accessed YYYY-MM-DD].