3,752
Views
1
CrossRef citations to date
0
Altmetric
ACCOUNTING, CORPORATE GOVERNANCE & BUSINESS ETHICS

The role of country by country reporting on corporate tax avoidance: Does it effective for the tax haven?

ORCID Icon, , &
Article: 2159747 | Received 14 Nov 2022, Accepted 14 Dec 2022, Published online: 31 Dec 2022

References

  • Allingham, M. G., & Sandmo, A. (1972). Income tax evasion: A theoretical analysis. Journal of Public Economics, 1(3–4), 323–25. https://doi.org/10.1016/0047-2727(72)90010-2
  • Annuar, H. A., Salihu, I. A., Normala, S., & Obid, S. (2014). Corporate ownership, governance and tax avoidance : An interactive effects. Procedia - Social and Behavioral Sciences, 164(August), 150–160. https://doi.org/10.1016/j.sbspro.2014.11.063
  • Atwood, T. J., Drake, M. S., Myers, J. N., & Myers, L. A. (2012). Home country tax system characteristics and corporate tax avoidance: International evidence. Accounting Review, 87(6), 1831–1860. https://doi.org/10.2308/accr-50222
  • Atwood, T., & Lewellen, C. (2019). The complementarity between tax avoidance and manager diversion : Evidence from tax haven firms. Contemporary Accounting Research, 36(1), 259–294. https://doi.org/10.1111/1911-3846.12421
  • Barker, J., Asare, K., & Brickman, S. (2017). Transfer pricing as a vehicle in corporate tax avoidance. The Journal of Applied Business Research, 33(1), 9–16. https://doi.org/10.19030/jabr.v33i1.9863
  • Bucovetsky, S. (2014). Honor among tax havens. Journal of Public Economics, 110, 74–81. https://doi.org/10.1016/j.jpubeco.2013.12.007
  • Cen, L., Maydew, E. L., Zhang, L., & Zuo, L. (2017). Customer–supplier relationships and corporate tax avoidance. Journal of Financial Economics, 123(2), 377–394. https://doi.org/10.1016/j.jfineco.2016.09.009
  • Chang, M., & Huang, D. (2017). The effect of tax reforms on the association between tax avoidance and ownership structure. Accounting and Finance Research, 6(2), 206–229. https://doi.org/10.5430/afr.v6n2p206
  • Chan, K. H., Mo, P. L. L., Zhou, A. Y., & Cahan, S. (2013). Government ownership, corporate governance and tax aggressiveness : evidence from China. Accounting and Finance, 53(4), 1029–1051. https://doi.org/10.1111/acfi.12043
  • Crivelli, E., Mooij, R. D., & Keen, M. (2015). Base erosion, profit shifting and developing countries (IMF Working Paper No. WP/15/118). International Monetary Fund.
  • Crocker, K. J., & Slemrod, J. (2005). Corporate tax evasion with agency costs. Journal of Public Economics, 89(9–10), 1593–1610. https://doi.org/10.1016/j.jpubeco.2004.08.003
  • Desai, M. A., & Dharmapala, D. (2006). Corporate tax avoidance and high-powered incentives. Journal of Financial Economics, 79(1), 145–179. https://doi.org/10.1016/j.jfineco.2005.02.002
  • Desai, M. A., & Dharmapala, D. (2008). Taxation and corporate governance : An economic approach. https://doi.org/10.1007/978-3-540-77276-7
  • Desai, M. A., Dyck, A., & Zingales, L. (2007). Theft and taxes. Journal of Financial Economics, 84(3), 591–623. https://doi.org/10.1016/j.jfineco.2006.05.005
  • Dharmapala, D., & Riedel, N. (2013). Earnings shocks and tax-motivated income-shifting. Evidence from European Multinationals Journal of Public Economics, 97, 95–107. http://dx.doi.org/10.1016/j.jpubeco.2012.08.004
  • Dutt, V. K., Ludwig, C. A., Nicolay, K., Vay, H., & Voget, J. (2019). Increasing tax transparency: investor reactions to the country-by-country requirement for EU financial institutions. International tax and public finance, 26(6), 1259–1260. https://doi.org/10.1007/s10797-019-09575-4
  • El-Helaly M. (2018). Related-party transactions: a review of the regulation, governance and auditing literature. MAJ, 33(8/9), 779–806. https://doi.org/10.1108/MAJ-07-2017-1602
  • Fisher, J. M. (2014). Fairer shores: Tax havens, tax avoidance, and corporate social responsibility. Boston University Law Review, 94, 337–365. https://www.bu.edu/bulawreview/files/2014/03/FISHER.pdf
  • Frank, M. M., Lynch, L. J., & Rego, S. O. (2009). Tax reporting aggressiveness and its relation to aggressive financial reporting. The Accounting Review, 84(2), 467–496. https://doi.org/10.2308/accr.2009.84.2.467
  • Gaaya, S., Lakhal, N., & Lakhal, F. (2017). Does family ownership reduce corporate tax avoidance? The moderating effect of audit quality. Managerial Auditing Journal, 32(7), 731–744. https://doi.org/10.1108/MAJ-02-2017-1530
  • Gallemore, J., & Labro, E. (2015). The importance of the internal information environment for tax avoidance. Journal of Accounting and Economics, 60(1), 149–167. https://doi.org/10.1016/j.jacceco.2014.09.005
  • Habib, A., Muhammadi, A. H., & Jiang, H. (2017). Political connections and related party transactions : Evidence from Indonesia. The International Journal of Accounting, 52(1), 45–63. https://doi.org/10.1016/j.intacc.2017.01.004
  • Hanlon M and Slemrod J. (2009). What does tax aggressiveness signal? Evidence from stock price reactions to news about tax shelter involvement. Journal of Public Economics, 93(1–2), 126–141. https://doi.org/10.1016/j.jpubeco.2008.09.004
  • Jiménez-angueira, C. E. (2018). The effect of the interplay between corporate governance and external monitoring regimes on firms ’ tax avoidance. Advances in Accounting, 41, 7–24. https://doi.org/10.1016/j.adiac.2018.02.004
  • Jones, C., & Temouri, Y. (2016). The determinants of tax haven FDI. Journal of World Business, 51(2), 237–250. https://doi.org/10.1016/j.jwb.2015.09.001
  • Jones, C., Temouri, Y., & Cobham, A. (2018). Tax haven networks and the role of the big 4 accountancy firms. Journal of World Business, 53(2), 177–193. https://doi.org/10.1016/j.jwb.2017.10.004
  • Joni, J., Ahmed, K., & Hamilton, J. (2020). Politically connected boards, family and business group af fi liations, and cost of capital : Evidence from Indonesia. The British Accounting Review, 52(3), 100878. https://doi.org/10.1016/j.bar.2019.100878
  • Joshi, P. (2020). Does private country-by-country reporting deter tax avoidance and income shifting? Evidence from BEPS action item 13. Journal of Accounting Research, 58(2), 333–381. https://doi.org/10.1111/1475-679X.12304
  • Joshi, P., Outslay, E., Persson, A., Shevlin, T., & Venkat, A. (2020). Does public country-by-country reporting deter tax avoidance and income shifting? Evidence from the european banking industry*. Contemporary Accounting Research, 37(4), 2357–2397. https://doi.org/10.1111/1911-3846.12601
  • Kovermann, J., & Wendt, M. (2019). Tax avoidance in family firms: Evidence from large private firms. Journal of Contemporary Accounting and Economics, 15(2), 145–157. https://doi.org/10.1016/j.jcae.2019.04.003
  • Lenz, H. (2018). Aggressive tax avoidance by managers of multinational companies as a violation of their moral duty to obey the law : A kantian rationale. Journal of Business Ethics. https://doi.org/10.1007/s10551-018-4087-8
  • Leung, S. C. M., Richardson, G., & Taylor, G. (2019). The effect of the general anti-avoidance rule on corporate tax avoidance in China. Journal of Contemporary Accounting & Economics, 15(1), 105–117. https://doi.org/10.1016/j.jcae.2018.12.005
  • Lismont, J., Cardinaels, E., Bruynseels, L., Groote, S. D., Baesens, B., Lemahieu, W., & Vanthienen, J. (2018). Predicting tax avoidance by means of social network analytics. Decision Support Systems, 108, 13–24. https://doi.org/10.1016/j.dss.2018.02.001
  • Mcclure, R., Lanis, R., Wells, P., & Govendir, B. (2018). The impact of dividend imputation on corporate tax avoidance : The case of shareholder value. Journal of Corporate Finance, 48, 492–514. https://doi.org/10.1016/j.jcorpfin.2017.10.00
  • Merle, R., Al-Gamrh, B., Ahsan, T., & Ntim, C. G. (2019). Tax havens and transfer pricing intensity: Evidence from the French CAC-40 listed firms. Cogent Business and Management, 6(1). https://doi.org/10.1080/23311975.2019.1647918
  • Ming, J., & Wong, T. (2010). Propping through related party transactions. Review of Accounting Studies, 15(1), 70–105. https://doi.org/10.1007/s11142-008-9081-4
  • Moore, J. A. (2012). Empirical evidence on the impact of external monitoring on book – tax differences. Advances in Accounting, Incorporating Advances in International Accounting, 28(2), 254–269. https://doi.org/10.1016/j.adiac.2012.06.002
  • Moore, J. A., & Xu, L. (2018). Book-tax differences and costs of private debt ☆. Advances in Accounting, 42(July), 70–82. https://doi.org/10.1016/j.adiac.2018.07.001
  • Morgan, J. (2016). Corporation tax as a problem of MNC organisational circuits : The case for unitary taxation. The British Journal of Politics and International Relations, 18(2), 463–481. https://doi.org/10.1177/1369148115623213
  • Overesch, M., & Wolff, H. (2021). Financial Transparency to the Rescue : Effects of Public Country-by-Country Reporting in the European Union Banking Sector on Tax Avoidance * La transparence financière à la rescousse : Incidence des déclarations publiques pays par pays dans le secteur ba. Contemporary Accounting Research, 1–27. https://doi.org/10.1111/1911-3846.12669
  • Pathan, S. (2009). Strong boards, CEO power and bank risk-taking. Journal of Banking and Finance, 33(7), 1340–1350. https://doi.org/10.1016/j.jbankfin.2009.02.001
  • Payne, D. M., & Raiborn, C. A. (2018). Aggressive tax avoidance : A conundrum for stakeholders, governments, and morality. Journal of Business Ethics, 147(3), 469–487. https://doi.org/10.1007/s10551-015-2978-5
  • Rego, S. O., & Wilson, R. (2012). Equity risk incentives and corporate tax aggressiveness. Journal of Accounting Research, 50(3), 775–810. https://doi.org/10.1111/j.1475-679X.2012.00438.x
  • Richardson, G., Taylor, G., & Lanis, R. (2013). Determinants of transfer pricing aggressiveness : Empirical evidence from Australian firms. Journal of Contemporary Accounting & Economics, 9(2), 136–150. http://dx.doi.org/10.1016/j.jcae.2013.06.002
  • Richardson, G., Taylor, G., & Lanis, R. (2015). The impact of financial distress on corporate tax avoidance spanning the global financial crisis: Evidence from Australia. Economic Modelling, 44, 44–53. https://doi.org/10.1016/j.econmod.2014.09.015
  • Salihu, I. A., Obid, S. N. S., & Annuar, H. A. (2013). Measures of corporate tax avoidance: Empirical evidence from an emerging economy. International Journal of Business and Society, 14(3), 412–427. http://www.ijbs.unimas.my/repository/pdf/Vol14No3paper6.pdf
  • Sebele-Mpofu, F., Mashiri, E., Schwartz, S. C., & Ntim, C. G. (2021). An exposition of transfer pricing motives, strategies and their implementation in tax avoidance by MNEs in developing countries. Cogent Business and Management, 8(1). https://doi.org/10.1080/23311975.2021.1944007
  • Sikka, P., & Willmott, H. C. (2010). The dark side of transfer pricing: Its role in tax avoidance and wealth retentiveness. Critical Perspectives on Accounting, 21(4), 342–356. https://doi.org/10.1016/j.cpa.2010.02.004
  • Taylor, G., & Richardson, G. (2012). International corporate tax avoidance practices : Evidence from Australian firms. International Journal of Accounting, 47(4), 469–496. http://dx.doi.org/10.1016/j.intacc.2012.10.004
  • Taylor, G., & Richardson, G. (2013). The determinants of thinly capitalized tax avoidance structures : Evidence from Australian firms. Journal of International Accounting, Auditing and Taxation, 22(1), 12–25. https://doi.org/10.1016/j.intaccaudtax.2013.02.005
  • Torslov, T. R., Wier, L. S., & Zucman, G. (2020). the missing profits of nations. In NBER Working Paper Series No. 24701. National Bureau of Economic Research. https://doi.org/10.1017/CBO9781107415324.004
  • Wahab, E. A. A., Ariff, A. M., Marzuki, M. M., & Sanusi, Z. M. (2017). Political connections, corporate governance, and tax aggressiveness in Malaysia. Asian Review of Accounting, 25(3), 424–451. https://doi.org/10.1108/ARA-05-2016-0053
  • Wegener, M., & Labelle, R. (2017). Is business ethics the ‘ last rampart ’ against tax aggressiveness ? International Journal Of. International Journal of Accounting Research, 5(1), 1–9. https://doi.org/10.4172/2472-114X.1000153
  • West, A. (2017). Multinational tax avoidance : Virtue ethics and the role of accountants. Journal of Business Ethics. https://doi.org/10.1007/s10551-016-3428-8