Research on environmental regulation, environmental protection tax, and earnings management

After the Chinese government put forward carbon peaking and neutrality goals, intensity of environmental regulation has reached an unprecedented height. Using a sample heavily polluted A-share listed companies in Shanghai Shenzhen from 2012 to 2018, we discuss influence mechanism tax on corporate earnings management this study. We use multiple regression models empirically verify impact regulation, tax, their combined effect management. find that regulations promote enterprises’ upward real inhibit accrual However, taxes discourage firms Moreover, jointly And there is heterogeneity among different enterprise natures, sizes, enterprises regions with degrees marketization, intensities investment protection, whether disclose protection concepts. The contribution paper same analytical framework. aim combine government’s macro policy enterprise’s micro behavior deeply analyze By analyzing these impacts dimensions, study tries expand research horizon, fill gap, provide theoretical support for formulate comprehensive policies.