alexa Is Business Ethics the ‘Last Rampart’ Against Tax Aggressiveness?
ISSN: 2472-114X

International Journal of Accounting Research
Open Access

OMICS International organises 3000+ Global Conferenceseries Events every year across USA, Europe & Asia with support from 1000 more scientific Societies and Publishes 700+ Open Access Journals which contains over 50000 eminent personalities, reputed scientists as editorial board members.

Open Access Journals gaining more Readers and Citations

700 Journals and 15,000,000 Readers Each Journal is getting 25,000+ Readers

This Readership is 10 times more when compared to other Subscription Journals (Source: Google Analytics)

Research Article

Is Business Ethics the ‘Last Rampart’ Against Tax Aggressiveness?

Wegener M1* and Labelle R2

1University of New Brunswick Saint John, Faculty of Business, 100 Tucker Park Road, Saint John, New Brunswick, E2L 4L5, Canada

2HEC Montréal, Department of Accounting Studies, 3000, Chemin de la Côte-Sainte-Catherine, Montréal, Québec, H3T 2A7, Canada

*Corresponding Author:
Wegener M
University of New Brunswick Saint John
Faculty of Business, 100 Tucker Park Road
Saint John, New Brunswick, E2L 4L5, Canada
Tel: +1 506 6485534
E-mail: [email protected]

Received Date: April 10, 2017; Accepted Date: April 21, 2017; Published Date: April 26, 2017

Citation: Wegener M, Labelle R (2017) Is Business Ethics the ‘Last Rampart’ Against Tax Aggressiveness? Int J Account Res 5: 153. doi:10.4172/2472-114X.1000153

Copyright: © 2017 Wegener M, et al. This is an open-access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.

 

Abstract

This study examines the relationship between business ethics and tax aggressiveness. Building on the conceptual model of corporate moral development, we hypothesize and find a negative association between the level of business ethics and tax aggressiveness. For our sample of U.S. firms, companies with a higher level of business ethics are less likely to be tax aggressive. Our results are robust to the use of two proxies for tax aggressiveness: the ‘mainstream’ effective-tax-rate measure and the unrecognized tax benefit, which have been identified as capturing the least and the most aggressive tax positions respectively. While we support our business ethics prediction in both our models, we also find a positive relationship between the quality of corporate governance (measured without ethical characteristics generally associated with good corporate governance) and tax aggressiveness. Our interpretation of these results is that, while ethical firms are concerned about paying their fair share of taxes, shareholders’ interest still comes first.

Keywords

Share This Page

Additional Info

Loading
Loading Please wait..
 
Peer Reviewed Journals
 
Make the best use of Scientific Research and information from our 700 + peer reviewed, Open Access Journals
International Conferences 2017-18
 
Meet Inspiring Speakers and Experts at our 3000+ Global Annual Meetings

Contact Us

Agri, Food, Aqua and Veterinary Science Journals

Dr. Krish

[email protected]

1-702-714-7001 Extn: 9040

Clinical and Biochemistry Journals

Datta A

[email protected]

1-702-714-7001Extn: 9037

Business & Management Journals

Ronald

[email protected]

1-702-714-7001Extn: 9042

Chemical Engineering and Chemistry Journals

Gabriel Shaw

[email protected]

1-702-714-7001 Extn: 9040

Earth & Environmental Sciences

Katie Wilson

[email protected]

1-702-714-7001Extn: 9042

Engineering Journals

James Franklin

engine[email protected]

1-702-714-7001Extn: 9042

General Science and Health care Journals

Andrea Jason

[email protected]

1-702-714-7001Extn: 9043

Genetics and Molecular Biology Journals

Anna Melissa

[email protected]

1-702-714-7001 Extn: 9006

Immunology & Microbiology Journals

David Gorantl

[email protected]

1-702-714-7001Extn: 9014

Informatics Journals

Stephanie Skinner

[email protected]

1-702-714-7001Extn: 9039

Material Sciences Journals

Rachle Green

[email protected]

1-702-714-7001Extn: 9039

Mathematics and Physics Journals

Jim Willison

[email protected]

1-702-714-7001 Extn: 9042

Medical Journals

Nimmi Anna

[email protected]

1-702-714-7001 Extn: 9038

Neuroscience & Psychology Journals

Nathan T

[email protected]

1-702-714-7001Extn: 9041

Pharmaceutical Sciences Journals

John Behannon

[email protected]

1-702-714-7001Extn: 9007

Social & Political Science Journals

Steve Harry

[email protected]

1-702-714-7001 Extn: 9042

 
© 2008-2017 OMICS International - Open Access Publisher. Best viewed in Mozilla Firefox | Google Chrome | Above IE 7.0 version
adwords