Please use this identifier to cite or link to this item:
The association between firm characteristics and book-tax difference
|Issue Date: ||2017-07-31 10:56:37 (UTC+8)|
Using a sample of Taiwan listed and OTC company, this research examines the relationship between firm characteristics and the differences in book-taxable income from 2009 to 2012. Empirical results show that firms with more accruals tend to have greater book-tax differences. From the perspective of firm characteristics, firms with greater profitability and sales growth rate tend to have smaller book-tax difference. The results are consistent with the expectation of the research hypotheses. Further, after controlling for the industry effects, the results show that the electronics companies have higher amount of temporary book-tax difference; however, they have greater investment tax credit than non-electronics companies, resulting in lower tax payables. In contrast, construction companies have higher tax-exempt book-tax difference than other companies, consistent with the provision of Taiwan’s tax law exempting capital gains on land transaction. Finally, the relationships between firm size and permanent or temporary book-tax income difference are different. Large firms tend to have a negative permanent book-tax difference, consistent with the notion that large firms own more resources for tax planning to reduce the tax payables. On the contrary, large firms tend to a positive temporary book-tax income difference, which is in line with the political cost hypothesis.
陳明進與蔡麗雯，2006，財稅所得差異決定因素及課稅所得推估之研究，管理學報，第 23卷，第 6期：739-763。
陳明進，2009，財務報表資料推估課稅所得之研究，管理學報，第 26卷，第 6期：625-636。
Chen, Ming-Chin, Su-Ming Lin and Tien-Hsun Chang. 2001.The impact of tax-exempt stock and land capital gains on corporate effective tax rates. Taiwan Accounting Review:2(1)
Gupta, S. and K. Newberry. 1997. Determinants of the variability in corporate effect tax rates: evidence from longitudinal data. Journal of Accounting and Public Policy 16: 1-34.
Hanlon, M. and T. Shevlin. 2002. Accounting for tax benefits of employee stock options and implications for research. Accounting Horizons 16(1): 1-16
Hanlon, M. 2003. What can we infer about a firm’s taxable income from its financial statements? National Tax Journal 56 (December): 831-863.
Hanlon, M., S. Kelly, and T. Shevlin. 2005b. Evidence on the possible information loss of conforming book income and taxable income. Journal of Law & Economics 48(October): 407-442.
Hanlon, M. 2005. The persistence and pricing of earnings, accruals, and cash flows when firms have large book-tax differences. The accounting Review 80 (1): 137-166.
Manzon, G. B. and G. A. Plesko. 2002. The relation between financial and tax reporting measures of income. The Law Review 55 (2): 175-214.
Mills L. F. and K. J. Newberry, 2005. Firm’s off-balance sheet and hybrid debt financing: Evidence from their book-tax reporting differences. Journal of Accounting Research 43 (2): 251-282.
Mills, L., K. Newberry, and W. B. Trautman, 2002. Trends in book-tax income and balance sheet differences, TaxNotes 19(August):1109-1124.
Mills, L., and K. Newberry. 2001. The influence of tax and nontax costs on book-tax reporting differences: public and private firms. The Journal of the American Taxation Association 23 (1): 1-19.
Mills, L., M. M. Erickson, and E. L. Maydew, 1998. Investments in tax planning, The Journal of the American Taxation Association, 20 (1), 1-20.
Plesko, G. A. 2002. Reconciling corporation book and tax net income: Tax years 1996-1998. SOI Bulletin. Washington, D.C.: Government Printing Office.
Plesko, G. A., 1999. An evaluation of alternative measures of corporate tax rates. Working Paper. Cambridge, MA: Massachusetts Institute of Technology.
Porcano, T. 1986. Corporate tax rates: progressive, proportional, or regressive. The Journal of the American Taxation Association 7(2): 17-31.
Phillips, J., M. Pincus, and S. Rego, 2003. Earnings management: new evidence based on deferred tax expense, The Accounting Review 78(2): 491-521.
Slemrod, J. and M. Blumenthal, 1993. The compliance costs of big business. Washington D.C.: The Tax Foundation.
Shevlin, T. and S. Porter. 1992. The corporate tax comeback in 1987: Some further evidence. The Journal of the American Taxation Association 14 (1): 58-79.
Spooner, G. M. 1986. Effective tax rates from financial statements. National Tax Journal 39 (3): 293-306.
Stickney, C. P., and V. E. McGee, 1982. Effective corporate tax rates – the effect of size, capital intensity, leverage and other factors, Journal of Accounting and Public Policy, 1 (2): 125-152.
Revsine, L., D. Collins, and W. B. Johnson, 2004. Financial Reporting & Analysis, Upper Saddle River, NJ: Prentice Hall.
Weisbach , D. A., 2003. Ten truths about tax shelters, Tax law Review, 55 (2): 215-253.
Yancey, W. F. and K. S. Cravens, 1998. A framework for international tax planning for managers, Journal of International Accounting, Auditing & Taxation, 7 (2), 251-272.
Zimmerman, J. 1983. Taxes and firm size. Journal of Accounting and Economics 5 (2): 119-149.
|Source URI: ||http://thesis.lib.nccu.edu.tw/record/#G0104353110|
|Data Type: ||thesis|
|Appears in Collections:||[會計學系] 學位論文|
Files in This Item:
All items in 政大典藏 are protected by copyright, with all rights reserved.