The Relationship between Corporate EarningsTransparency and Tax Avoidance

• Main Authors: LI, KUAN-SHUAN, 李冠璇
• Other Authors: HUNG, SHENG-MIN
• Format: Others
• Language: zh-TW
• Published: 2018
• Online Access: http://ndltd.ncl.edu.tw/handle/5waf5t

碩士 === 東吳大學 === 會計學系 === 106 === This study examines the association between corporate earnings transparency and tax avoidance. While the explanatory power of the returns-earnings relation increases, whether if it will diminish the possibility of corporate tax avoidance. If the explanatory power of the returns-earnings exceeds a certain level, there might be some undisclosed information. The empirical results show that there is a significant negative correlation between corporate earnings transparency. When corporate earnings transparency rises, it will limit the space of management tax avoidance, therefore lessens tax avoidance. Furthermore, the empirical results also show that corporate earnings transparency reaches a certain level, the explanatory power of the returns-earnings relation is higher enough to decrease the explanatory power of other information to returns. From the empirical results, we could find that higher earnings transparency reduces negative correlation between earnings transparency and tax avoidance. Corporate may make use of other nonfinancial information which is undisclosed to achieve tax avoidance.