Tax digitization and earnings management

Abstract

Based on a quasi-natural experiment of tax administration digitization practices, this paper explores the impact of tax administration digitization on earnings management using a multiple time-point DID model. The study finds that tax administration digitization significantly reduces the extent of corporate earnings management. Mechanism tests reveal that the higher the level of financing constraints, the more pronounced the inhibitory effect of tax administration digitization on earnings management. Additionally, tax administration digitization suppresses corporate earnings management by reducing information opacity and decreasing corporate tax avoidance behavior . Furthermore, the extent to which tax administration digitization inhibits earnings management varies across different types of enterprises .

Cite this work

No public copy is stored for this record, so only the metadata is cited.

Stored only when both papers are in the corpus — 13 citations exist upstream.

Papers that cite the same references — the relational fallback while embeddings are still backfilling.