Corporate Tax Planning and Firms' Information Environment

B. Osswald, Corporate Tax Planning and Firms’ Information Environment, 2018.

Download
Restricted TAF_WP_041_Osswald2018.pdf 1.15 MB
Working Paper | Published | English
Author
Osswald, Benjamin
Abstract
This study examines whether internal information quality (IIQ) is associated with firms’ external information quality (EIQ) and whether tax planning moderates this association. Based on the argument that higher internal information quality allows managers to convey higher quality information to market participants, I hypothesize and find a positive association between IIQ and EIQ. I then examine if tax planning, which prior literature shows affects external information quality due to proprietary costs of disclosure, attenuates this association. I find that the association between IIQ and EIQ is fully attenuated for firms with a high level of tax planning. A structural equation model that allows different elements of IIQ to covary and robustness tests corroborate my findings. Overall, my results imply that increased IIQ spills over to EIQ because managers convey higher quality internal information to market participants. However, proprietary costs resulting from a high level of tax planning appear to moderate this effect.
Publishing Year
Series Title / Volume
TAF Working Paper Series
Volume
No. 41
LibreCat-ID

Cite this

Osswald B. Corporate Tax Planning and Firms’ Information Environment. Vol No. 41.; 2018.
Osswald, B. (2018). Corporate Tax Planning and Firms’ Information Environment (Vol. No. 41).
@book{Osswald_2018, series={TAF Working Paper Series}, title={Corporate Tax Planning and Firms’ Information Environment}, volume={No. 41}, author={Osswald, Benjamin}, year={2018}, collection={TAF Working Paper Series} }
Osswald, Benjamin. Corporate Tax Planning and Firms’ Information Environment. Vol. No. 41. TAF Working Paper Series, 2018.
B. Osswald, Corporate Tax Planning and Firms’ Information Environment, vol. No. 41. 2018.
Osswald, Benjamin. Corporate Tax Planning and Firms’ Information Environment. Vol. No. 41, 2018.
All files available under the following license(s):
Copyright Statement:
This Item is protected by copyright and/or related rights. [...]
Main File(s)
File Name
TAF_WP_041_Osswald2018.pdf 1.15 MB
Access Level
Restricted Closed Access
Last Uploaded
2021-03-09T10:20:20Z


Link(s) to Main File(s)
Access Level
Restricted Closed Access

Export

Marked Publications

Open Data LibreCat

Search this title in

Google Scholar