Good Corporate Governance in Manufacturing Companies Tax Avoidance

Corporate governance and Asian companies

While prominent differences in corporate governance exist across the Asia Pacific region, there are common concerns about controlling shareholders expropriating wealth from minority shareholders at the expense of overall wealth creation, as well as about the roles and qualifications of managers in Asian companies. The contributors to this Special Issue of the Asia Pacific Journal of Management ...

Externalities of Corporate Tax Avoidance

We show that when a meaningful proportion of firms in an economy engage in tax avoidance strategies, the covariance between a firm’s cash flow and the market cash flows increases, thereby increasing a firm’s cost of capital. This negative externality is imposed on all firms in the economy, not just tax-avoiding firms. The negative externality results regardless of the level of uncertainty assoc...

The Ranking of Effective Factors on Corporate Tax Avoidance

The Hierarchy of Effective Factors on Corporate Tax Avoidance Because of the information asymmetry within taxpayers and governments, commonly, the taxpayers try avoid the payment of tax. The problem can be explained by Agency theory. On the other hand, governmants try to maximize receiving tax by recognizing risky taxpayers and researchers try to recognize effective factors on tax avoidance. Th...

Tax Avoidance , Corporate Transparency , and Firm Value

Corporate Governance Matters to Investors in Emerging Market Companies

Financial crises have a way of bringing corporate governance to the foreground. For interested parties wanting to know more, there is an impressive body of research that looks at companies and the connection between strong governance and better performance. However, the existing literature only goes so far. It does not look at whether the level and quality of firm-level corporate governance pla...