Corporate social responsibility performance and tax aggressiveness

Mgbame, C. O.; Chijoke-Mgbame, Aruoriwo M; Yekini, Sina; Yekini, Kemi

Abstract

This study investigated the effect of corporate social responsibility (CSR) performance on tax aggressiveness of listed firms in Nigeria. A cross-sectional research design was utilized for the study, and data were collected from the published annual reports. Using a sample of 50 companies for the period of 2007 to 2013, the findings of the study reveal that there is a negative relationship between CSR performance and tax aggressiveness in Nigeria. A significant relationship was also found between firm size and tax aggressiveness, though with mixed positive and negative results. In addition, the results reveal a negative and significant relationship between firm performance and tax aggressiveness, and the extent of tax aggressiveness is reinforcing. It can be concluded that firms are more or less likely to engage in tax aggressiveness depending on their CSR standpoints and dimension and other corporate characteristics. It is recommended that more attention should be given by tax administrations to understand conditions where tax aggressiveness is more likely and measures should be put in place to combat it.

Citation

Mgbame, C. O., Chijoke-Mgbame, A. M., Yekini, S., & Yekini, K. (2017). Corporate social responsibility performance and tax aggressiveness. Journal of Accounting and Taxation, 9(8), 101-108. https://doi.org/10.5897/JAT2017.0266

• Journal Article Type: Article
• Acceptance Date: Aug 24, 2017
• Publication Date: Sep 4, 2017
• Deposit Date: Dec 11, 2019
• Publicly Available Date: Dec 11, 2019
• Journal: Journal of Accounting and Taxation
• Electronic ISSN: 2141-6664
• Publisher: Academic Journals
• Peer Reviewed: Peer Reviewed
• Volume: 9
• Issue: 8
• Pages: 101-108
• DOI: https://doi.org/10.5897/JAT2017.0266
• Keywords: Corporate social responsibility; tax; Nigeria
• Publisher URL: https://academicjournals.org/journal/JAT/article-full-text-pdf/3547ABE66039