Banking deregulation and corporate tax avoidance

• 作者: Bill B.Francis Ning Ren Qiang Wu
• 来源期刊: 中国会计学刊：英文版
• 学科: 经济
• 年，卷（期）: 2017,（2）
• 页码范围: 87-104
• 页数: 18页
• 分类号: F275

摘要

We investigate whether tax avoidance substitutes for external financing. We exploit interstate banking deregulation as a quasi-external shock to examine whether firms engage in less tax avoidance after banking deregulation, because of cheaper and easier access to credit from banks. We find no empirical evidence to support this substitutive relation, even for firms with higher financial constraints or firms with higher external financing dependence.