Corporate tax aggressiveness and managerial rent extraction: Evidence from insider trading

• Main Authors: Chung, Sung Gon, GOH, Beng Wee, LEE, Kiat Bee Jimmy, SHEVLIN, Terry J.
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2015
• Subjects: Tax aggressiveness; insider trading; litigation risk; managerial rent extraction; Accounting; Corporate Finance
• Online Access: https://ink.library.smu.edu.sg/soa_research/1635; https://ink.library.smu.edu.sg/context/soa_research/article/2662/viewcontent/CorporateTaxAggressivenessInsider_2015_wp.pdf
• Institution: Singapore Management University

Recent studies argue that aggressive forms of tax avoidance can be used to facilitate managerial rent extraction from shareholders (e.g., Desai 2004; Desai and Dharmapala 2006; Desai et al. 2007). Despite this agency view of tax avoidance receiving increasing attention in the literature, there is li...