The effects of the EU's Anti-Tax Avoidance Directive and
BEPS changes on debt markets are likely to be felt in debt capital
markets, as Andy Murray, of Duff & Phelps'
Compliance and Regulatory Consulting practice, explains.
This article was first published in Bloomberg Tax
on May 6, 2019.
The last two decades have witnessed a substantial growth in debt
funds. That growth has been fueled by a heady combination of a
preference for leveraged finance, extraordinary macroeconomic
conditions and traditional lenders withdrawing from certain sectors
of debt capital markets. The boom has also been helped in part by
the global tax bias for debt finance.
This article addresses this market sector and raises the
question—will the recent raft of domestic tax changes,
particularly those for interest deductibility, slow activity?
