Does a Firm’s Life Cycle Explain Its Propensity to Engage in Corporate Tax Avoidance?
dc.contributor.author | Hasan, Mostafa | |
dc.contributor.author | Al-Hadi, A. | |
dc.contributor.author | Taylor, G. | |
dc.contributor.author | Richardson, G. | |
dc.date.accessioned | 2017-01-30T10:32:44Z | |
dc.date.available | 2017-01-30T10:32:44Z | |
dc.date.created | 2016-08-01T19:30:22Z | |
dc.date.issued | 2016 | |
dc.identifier.citation | Hasan, M. and Al-Hadi, A. and Taylor, G. and Richardson, G. 2016. Does a Firm’s Life Cycle Explain Its Propensity to Engage in Corporate Tax Avoidance? European Accounting Review. 26 (3): pp. 469-501. | |
dc.identifier.uri | http://hdl.handle.net/20.500.11937/3612 | |
dc.identifier.doi | 10.1080/09638180.2016.1194220 | |
dc.description.abstract |
This study examines whether a firm’s life cycle explains its propensity to engage in corporate tax avoidance. Based on the Dickinson (2011) model of firm life cycle stages and a large dataset of US publicly listed firms over the 1987–2013 period, we find that tax avoidance is significantly positively associated with the introduction and decline stages and significantly negatively associated with the growth and mature stages using the shake-out stage as a benchmark. We observe a U-shaped pattern in tax avoidance outcomes across the various life cycle stages in line with the predictions of dynamic resource-based theory. Our findings are consistent using several robustness checks. Overall, our results show that a firm’s life cycle stage is a significant determinant of tax avoidance. | |
dc.publisher | Routledge Journals | |
dc.title | Does a Firm’s Life Cycle Explain Its Propensity to Engage in Corporate Tax Avoidance? | |
dc.type | Journal Article | |
dcterms.source.startPage | 1 | |
dcterms.source.endPage | 33 | |
dcterms.source.issn | 0963-8180 | |
dcterms.source.title | European Accounting Review | |
curtin.note |
This is an Author's Original Manuscript of an article published by Taylor & Francis in European Accounting Review on 23/06/2016 available online at http://www.tandfonline.com/10.1080/09638180.2016.1194220 | |
curtin.department | Department of Finance and Banking | |
curtin.accessStatus | Open access |