EBITDA as an element of the financial rationality of thetax system

The aim of the publication is to show the essence of the cost of debt in an enterprise and the impact of taxes onthis cost. Looking at the cost of debt through the prism of tax has become particularly important in connectionwith the definition of the concept of tax EBITDA in income taxes and the reference to its value of the tax limit ofthe company’s debt. As a result of the conducted research, the essence of tax recognition of the cost of debt inthe light of the theory of corporate finance and tax theory was presented. The result shows the tax aspect ofEBITDA as a value determining the level of debt financing of the company. Methodology of the study – Study ofliterature, tax law norms and court rulings, critical analysis of literature and legal norms.