| 释义 |
Interest tax shield Interest tax shieldThe reduction in income taxes that results from the tax-deductibility of interest payments.Interest Tax ShieldA reduction in tax liability coming from the ability to deduct interest payments from one's taxable income. For example, a mortgage provides an interest tax shield for a property buyer because interest on mortgages is generally deductible. An interest tax shield may encourage a company to finance a project through debt because dividends paid on stock issues are never deductible. |