The Tax Cuts and Jobs Act (2017) Has Long-Term Effects on Corporate Pension Risk

Divya Anantharaman, Saipriya Kamath, Shengnan Li, Accounting and Information Systems Department, Rutgers Business School, United States of America, Accounting Department, London School of Economics, United Kingdom, Accounting Department and Center for Accounting Studies, Xiamen University

Journal of Accounting, Auditing & Finance

Published online on January 23, 2026

Abstract

Journal of Accounting, Auditing & Finance, Ahead of Print.
The Tax Cut and Jobs Act of 2017 generated a spurt in tax-deductible contributions to corporate defined benefit pension plans. We examine how pension risk altered as a result. We document that sponsors making large voluntary contributions before lower tax ...