Is Firms' R&D Expenditure for Future Performance or for Tax Saving?

• Main Authors: Li-Hsiang Teng, 鄧禮祥
• Other Authors: Yu-Chih Lin
• Format: Others
• Language: zh-TW
• Published: 2015
• Online Access: http://ndltd.ncl.edu.tw/handle/c47vuj

碩士 === 國立雲林科技大學 === 會計系 === 103 === According to previous literatures, most empirical studies have shown that there is a significant positive relationship between R&D expenditures and firm performance. However, domestic empirical results are inconsistent. In order to promote the competitive advantages of Taiwan, the government encourages firms to devote in the R&D activities by tax cut, the tax incentives are enacted in「the Statute for the Encouragement of Investment」, 「the Statute for Upgrading Industry」, and 「the Act for Industrial Innovation」. But in this way, it will cause a huge loss in tax revenue. This research is to explore which is the purpose of firms' R&D expenditures, future performance or tax saving. The research sample is drawn from publicly listed companies in Taiwan,from 2006 to 2010. The r results show, there is a negative relationship between R&D expenditure and Future Performance, and there is a negative relationship between R&D expenditures and effective tax rate. That is to say, the more R&D expenditure, the lower effective tax rate. In summary, the purpose of firms' R&D expenditure seems not to enhance future performance. It is probably that firms' R&D expenditures brings about the tax shield effects to achieve tax deduction. Keywords：Future Performance、Effective Tax Rate