적극적인 재무보고와 적극적인 세무보고의 관계 연구

Abstract

This study examines the relation between financial and tax reporting aggressiveness. Prior researches have documented a growing gap between financial and taxable incomes since 1990's. Many observers interpret this growing gap as indicating an increase in tax shelter activity(aggressive tax reporting) and corporate accounting scandals(aggressive financial reporting). Consequently, this paper investigates whether the companies that engage in aggressive financial reporting(discretionary accruals : DACC) are also the firms that engage in aggressive tax reporting(tax subsidy : TS, permanent difference : PDIFF). This study used a system of equations to model the endogenous relation between financial and tax reporting decisions. Thus, to account for the endogenous activity of financial and tax reporting decisions, this study used two-stage least squares(2SLS) regression and seemingly unrelated regression(SUR) with samples including 1,959 industrial firms listed on Korean Stock Exchange in the 1999 to the 2004. OLS and SUR results show that DACC and T are statistically significant positive(+) and results show that both are positive(+), but only TS is statistically significant. But DACC could not explain PDIFF sufficiently, and vice versa. These results indicate that firms that engage in aggressive financial reporting also engage in aggressive tax reporting. This study can be useful to both financial and tax regulators, and other stockholders, who have a vested interest in understanding the interaction of financial and tax reporting decisions.