The Influence of Network Ties on Tax Avoidance: Evidence from Venture-Backed IPO Firms

• Main Authors: Chih-TangYang, 楊智棠
• Other Authors: Jeng-Fang Chen
• Format: Others
• Language: en_US
• Published: 2012
• Online Access: http://ndltd.ncl.edu.tw/handle/23263903415500355505

碩士 === 國立成功大學 === 會計學系碩博士班 === 100 === This study examines whether network ties help explain which firms are low-tax. Based on social network theory, I assume that the social networks act as a means for information transmission; therefore, skill about tax avoidance strategies is transmitted across firms via their social network ties. Using venture capitalist interlocks to proxy for firm’s network connections, I find that the level of firm’s tax avoidance is associated with its connections to other low-tax firms. My result suggests that, in addition to board interlock, venture capitalist plays an important role in its investee’s early-stage tax avoidance.