Extreme Tax Avoidance and Firm Value

DOI

10.2991/978-94-6463-690-1_8How to use a DOI?

Keywords

extreme tax avoidance; firm value; asymmetric relationship

Abstract

This study investigates whether extreme tax avoidance influences firm value. We find that firm values are positively associated with tax avoidance levels when firms under-invest in tax planning. In contrast, they are negatively associated with tax avoidance levels when firms over-invest in tax planning. This finding remains robust when alternative measures of firm value and corporate tax avoidance are used or when the regression model is altered, supporting the notion that extreme tax avoidance impairs firm value.

Copyright

© 2025 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Chengcai Xie
AU  - Rui Ge
PY  - 2025
DA  - 2025/04/23
TI  - Extreme Tax Avoidance and Firm Value
BT  - Proceedings of the 2024 6th International Conference on Economic Management and Model Engineering (ICEMME 2024)
PB  - Atlantis Press
SP  - 61
EP  - 69
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-690-1_8
DO  - 10.2991/978-94-6463-690-1_8
ID  - Xie2025
ER  -