scholarly journals Corporate Social Responsibility, Taxation and Aggressive Tax Planning

2014 ◽  
Vol 1 (1) ◽  
pp. 36-75 ◽  
Author(s):  
Reijo Knuutinen
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Tax Planning ◽  
Tax Law ◽  
Tax Treaties ◽  
Legal Concept ◽  
Starting Point ◽  
Transfer Prices ◽  
Corporate Social ◽  
A Company

Abstract Society expects companies to take into account the economic, environmental, and social effects of their operations and activities. The concept of corporate social responsibility (CSR) refers to the operations or actions of companies that are above or independent of the limits or minimum requirements set by legislation. The economic purpose of a company and its responsibilities towards shareholders and debtors, first and foremost, is a natural starting point in reviewing the responsibilities. Also other stakeholders such as employers or public entities as tax collectors have economic requirements and expectations. Responsibility in the context of tax issues has become the topic of greater attention, with a number of stakeholder groups actively reviewing the approaches that companies take to their tax strategies and tax planning activities. In this article CSR is reviewed especially in the context of taxation. Does CSR have any significance and importance in the context of tax law and especially income taxation? Does CSR set limits on the tax planning of companies, or is there an obligation to pay any more taxes than what has to be paid according to the law and the tax treaties? While the concept of CSR is not a legal one, neither is the approach for these questions in this article only a legal one. Attitudes towards taxes are often contradictory. On the one hand, taxes are like any other costs for a company, but on the other hand, they are an economic contribution to the society in which the business is conducted. The phrase “aggressive tax planning”, as opposed to regular or “acceptable” tax planning, has been used on several occasions recently. Taking a purely technical approach to tax planning is unlikely to protect companies from charges of irresponsibility and associated reputational damage. Aggressive tax planning can be characterized, for instance, by an intensive use of legal and financial tools, establishments in foreign tax havens, unbalanced capital structures and transfer prices, or a disingenuous use of tax treaties. Still, aggressive tax planning is not a legal concept so there is no legal definition for it. Instead, the question is more or less about where to draw the line of moral acceptability, which runs on the inside of the tax planning area. From the CSR point of view, aggressive tax planning can be defined as actions taken by taxpayers which are in the line of requirements of tax law, but which do not meet the reasonable and justified expectations and requirements of the stakeholders.

Can investing in corporate social responsibility lower a company's cost of capital?

2014 ◽  
Vol 31 (2) ◽  
pp. 202-222 ◽  
Author(s):  
Marcelo Cajias ◽  
Franz Fuerst ◽  
Sven Bienert
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Cost Of Capital ◽  
Task Force ◽  
Equity Capital ◽  
Content Type ◽  
Starting Point ◽  
Corporate Social ◽  
The Cost ◽  
A Company

Purpose – This paper aims to investigate the effect of corporate social responsibility (CSR) ratings on the ex ante cost of capital of more than 2,300 listed US companies in a panel from 2003 to 2010. It examines whether financial markets value continuous investment in CSR activities through higher market capitalization and lower cost of capital. Design/methodology/approach – The measure of the cost of capital reflects the perceived riskiness of individual companies expressed in the unobserved internal rate of return that investors expect to hold a risky asset. Based on descriptive portfolio estimations, panel and quantile regressions, the authors model the cost of equity capital as a function of CSR strengths and concerns obtained from the KLD-database and accounting controls. Findings – The authors show that firms' CSR strategies differ significantly across industry sectors. Customer-orientated companies such as telecommunications and automobile outperform asset-driven sectors such as real estate or chemical companies. Furthermore, the authors find a 10-bp positive effect for one standard deviation of firms' intensive allocation of resources in sustainable activities. Research limitations/implications – Since the authors are interested in the effect environmental, social and governance activities have on the firm's perceived market valuation rate, the authors apply the Fama-French model because of its efficiency in explaining realized returns, rather than incorporating analyst's long-term growth forecasts into the proxy for the equity premium. Practical implications – Managers of companies with low or intermediate CSR scores may consider the financial benefits of improving their social and environmental performance. A good starting point is usually to draw up a company-wide CSR agenda, possibly guided by a dedicated CSR task force, mapping out the potential costs and benefits of such measures. In addition, by improving their CSR ratings, a company may get access to additional resources, ranging from the growing ethical investment industry to employees for whom CSR performance matters when choosing an employer. Originality/value – The authors expand the existing literature by considering firm's CSR level to be in relation to the overall CSR performance and decompose firm's CSR agenda into strengths and concerns rather than counting the number of activities a firm is involved in. The applied methodology allows a better understanding of firm's CSR agenda and its implication for capital markets and investors on both long and short investment terms.

scholarly journals Boosting Corporate Social Responsibility in Tourist Destinations through Loyalty Programs and Stakeholder Collaboration

2015 ◽  
Vol 7 (4(J)) ◽  
pp. 122-133 ◽  
Author(s):  
Iva Slivar
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Local Community ◽  
Positive Impact ◽  
Loyalty Programs ◽  
Loyalty Program ◽  
Tourist Destinations ◽  
Starting Point ◽  
Corporate Social ◽  
A Company

Two opposite approaches gravitate around Corporate Social Responsibility (CSR): shareholder vs. stakeholder approach. The first paradigm is classical: stating a company has one primary purpose i.e. profitability and is responsible to its shareholders. The second one sees the company not merely in function of its primary goal but also responsible to its employees, providers, local community, the environment etc. It is indisputable that a company operates in a certain context and in order to pursue its reason of existence it has to maintain good relationship and collaborate with others directly or indirectly involved or affected by its business, to a degree that is in line with its primary goal. This starting point was the base to integrate CSR and relationship marketing. CSR is a voluntary based concept. The purpose of this paper is to enhance CRS implementation in tourism. The authors propose a model that will encourage tourism companies to systematically and comprehensively include various CSR practices in their business, which will have a positive impact on the destination as a whole. The realization of the model gathers qualified tourism companies in an exclusive destination loyalty program and further promotes them as superior tourism providers. The involvement of all stakeholders of the tourist destinations in individual phases of the project is part of the proposed model. The model is easily applicable in practice.

La legislación tributaria venezolana como promotora de la responsabilidad social empresarial

Oikos ◽  
2014 ◽  
Vol 16 (33) ◽  
pp. 53
Author(s):  
Ana Cecilia Chumaceiro Hernández ◽  
Judith Josefina Hernández de Velazco
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Tax Law ◽  
Socially Responsible ◽  
Palabras Clave ◽  
Interpretative Approach ◽  
Corporate Social

aVenezuelan Tax Law as a Promoter of Corporate Social Responsibility   RESUMEN El presente artículo tiene por objetivo disertar sobre los dispositivos contenidos en la legislación tributaria venezolana que actúan como promotores de la responsabilidad social empresarial (RSE), para ello se utilizó el paradigma Cualitativo, bajo un enfoque hermenéutico – interpretativo, cuyo método fue análisis de contenido. En tal sentido se han observado los aspectos, elementos y mecanismos que se encuentran en la LISLR, LIVA y LOCTI que fomentan, incentivan o coadyuvan la RSE; finalmente se plantearan lineamientos para la aceptación de una nueva cultura de RSE con dimensión tributaria. Considerando, que dentro de la legislación tributaria no existen dispositivos específicos que promuevan la RSE, y, ello debe ser tomado en cuenta por el legislador para modificar ciertas normas y crear el incentivo necesario para que las empresas sean de forma congruente socialmente responsables. Palabras clave: legislación tributaria, empresa, promoción, responsabilidad social empresarial. ABSTRACT The objective of this study is to explore regulatory provisions from Venezuelan tax law as promoters of corporate social responsibility (CSR). For the methodological analysis of content, the study uses the qualitative paradigm and a hermeneutical-interpretative approach. The research observes different elements and mechanisms from LISLR, LIVA and LOCTI which encourage and contribute to corporate social responsibility. The study also proposes guidelines for the acceptance of a CSR culture from a tax dimension. The fact that there are no regulatory provisions within the Venezuelan tax law needs to be taken into account by legislators in order to amend certain norms and create the necessary incentives for companies to be socially responsible. Keywords: tax law; companies; encouragement; corporate social responsibility. Este trabajo es el resultado de investigaciones que se desarrollan en la línea “Responsabilidad Social, Empresa y Estado” del Centro de Estudios e Investigaciones Socioeconómicas y Políticas (CEISEP-UNERMB). 

PERAN CORPORATE SOCIAL RESPONSIBILITY (CSR) DALAM MENINGKATKAN PEMBERDAYAAN MASYARAKAT DESA GEMAWANG KECAMATAN JAMBU

2020 ◽  
Vol 3 (2) ◽  
Author(s):  
Anafil Indriya ◽  
Maya Aresteria ◽  
Stacia Reviany Mege
Keyword(s):  
Corporate Social Responsibility ◽  
Community Development ◽  
Social Responsibility ◽  
Research Method ◽  
Living Standards ◽  
Sources Of Information ◽  
Participation Level ◽  
Corporate Social ◽  
A Company

Corporate Social Responsibility (CSR) is the responsibility of a company to commit to running a business ethically, morally, and contributing to economic development and improving people's lives. Gemawang Village, Jambu Regency, Ambawara, is one of the locations for CSR recipients. This location is the object of this research. This study aims to analyze the role of CSR in enhancing community development, as well as to find out the obstacles faced by companies in increasing community development through CSR. This research method uses qualitative methods, where there are several key informants as sources of information. The indicators used in this study are the level of effectiveness, level of suitability, level of participation, level of empowerment, and level of sustainability. Based on the results of research in Gemawang Village, Jambu District, it can be concluded that CSR assistance provided by the company can improve community development and living standards. Keywords: CSR, Corporate Social Responsibility, Level of Effectiveness, Level of Empowerement

scholarly journals Three-Cluster Policy in the Implementation of Corporate Social Responsibility at InterContinental Bali Resort

2020 ◽  
Vol 2 (1) ◽  
pp. 11-21
Author(s):  
Putu Rian Arde Surya ◽  
◽  
I Ketut Budarma ◽  
I Gede Mudana ◽  
◽  
...  
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Local Policy ◽  
Cluster Policy ◽  
Analysis Techniques ◽  
Great Love ◽  
Corporate Social ◽  
Small Things ◽  
A Company

Purpose: This research is to analyze the three-cluster policy in international, national, and local policy on corporate social responsibility (CSR) implementation at InterContinental Bali Resort. Research methods: The research method used is descriptive qualitative with juridical-normative analysis techniques. Results and discussion: The CSR implementation is related to three-cluster regulation analysis, as follows: do small things with great love, embrace the joy of giving, give a little, safe a life!, green living!, and IHG earth week. The implementation of CSR has an impact on the sustainability of the company. Conclusion: A company in carrying out its activities are not only on more financial factors such as profits or dividends but be based on social and environmental responsibility for the present and long term.

scholarly journals CORPORATE SOCIAL RESPONSIBILITY TOWARDS THE WORKERS IN TEA INDUSTRY OF ASSAM – A CASE STUDY WITH SPECIAL REFERENCE TO THREE COMPANY BASED INDUSTRY

2014 ◽  
Vol 2 (2) ◽  
pp. 14-19
Author(s):  
Horen Goowalla
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Social Development ◽  
For Profit ◽  
Tea Industry ◽  
Drivers Of Csr ◽  
The Government ◽  
Corporate Social ◽  
A Company

Corporate Social Responsibility (CSR) defined as “the ethical behavior of a company towards the society,” manifests itself in the form of such noble programs initiated by for-profit organizations. CSR has become increasingly prominent in the Indian corporate scenario because organizations have realized that besides growing their businesses, it is also vital to build trustworthy and sustainable relationships with the community at large. This is one of the key drivers of CSR programs. Though India is one of the fastest growing economies, socio-economic problems like poverty, illiteracy, lack of healthcare etc. are still ubiquitous and the government has limited resources to tackle these challenges. This scenario has opened up several areas for businesses to contribute towards social development. Companies have CSR teams that devise specific policies, strategies and goals for their CSR programs and set aside budgets to support them. Corporate Social Responsibility means the way in which  business firms integrate environmental, economic and social concerns into their culture, values, strategy, decision making and operations in an accountable and transparent manner and therefore, leading to better creation of wealth, an improved society and better  practices in the business organization. The research study has been undertaken by selecting three tea estates of Jorhat District of Assam, out of the total tea estates 135(Annual Report2013, Published tea Board of India). These tea estates are considered only Company based, tea estates for the study. This paper is about how Tea Industry performs their Social Responsibility towards their workers. Research is based on the three Tea Gardens industry i.e. how they fulfill their task towards the benefit of Society. In this paper,  an attempt has been made to highlights how the companies based tea industries have introduced many workers welfare activities, social development programmes, better working conditions,provide better medical and sanitation facilities, sports and cultural activities in order to improve  their standard of living of employees.

scholarly journals Evaluasi Program CSR (Corporate Social Responsibility) Perusahaan PT. ANTAM Tbk UBPN SULTRA Kecamatan Pomalaa Kabupaten Kolaka (Studi Kasus Desa Tambea)

2019 ◽  
Vol 2 (1) ◽  
pp. 51
Author(s):  
Theofilus Salea ◽  
Irfan Ido
Keyword(s):  
Corporate Social Responsibility ◽  
Performance Analysis ◽  
Social Responsibility ◽  
Analytical Method ◽  
Corporate Social ◽  
The Relationship ◽  
A Company

ABSTRACTTPT. ANTAM Tbk is a company engaged in the exploration of mining materials such as nickel, gold and silver, and bauxite. Tambea village is one of the areas in Pomalaa Subdistrict, Kolaka Regency, which is close to PT. ANTAM Tbk. The purpose of this study can evaluate the CSR program of PT. ANTAM Tbk in Tambea Village, Pomalaa District, Kolaka Regency. The method of determining the sample uses the System of Rising Intensification method with a population of 24 heads of households as respondents. The analytical method used to determine the relationship between the level of performance and level of expectation is the method of IPA analysis (Importance-Performance Analysis). The results of this study indicate that the company PT. ANTAM Tbk still has to improve its performance on the elements of program distribution and supporting elements of the program. Keywords: Evaluation, CSR Program and company PT. ANTAM Tbk.

Unfortunately, Ambiguities Still Abound in How We Conceptualize Corporate Social Responsibility

2013 ◽  
Vol 6 (4) ◽  
pp. 379-383 ◽  
Author(s):  
Paresh Mishra ◽  
Gordon B. Schmidt
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
The Other ◽  
Organizational Success ◽  
Positive Outcomes ◽  
Corporate Social ◽  
Product Strategies ◽  
A Company

The idea of embedded versus peripheral corporate social responsibility (CSR) proposed by Aguinis and Glavas (2013) appears to be very intuitive and functional. After all, who can on face deny the argument that CSR will have the maximum positive outcomes when it is not just an add-on but is thoroughly integrated into the strategies, routines, and operations of the business? However, on closer inspection, there appear to be several problems with the embedded–peripheral dichotomy. Three major ambiguities of the embedded–peripheral dichotomy are focused on in this commentary. The first lies in the potential for significant ambiguity in whether a company falls in one category or the other based on how the totality of the organization's operations and functions are categorized. A company can have CSR built into their operations and strategies for part of their business (embedded) while have them not be built into their operations for different aspects of the operations or product strategies. The second ambiguity area is how CSR actions get defined as peripheral or embedded that does fit well with the actual importance level of the action to the organization. We look at an organization example (TOM Shoes) where peripheral CSR actions have significant impact on organizational success.

Corporate Social Responsibility as a Strategy in a Self-Service Shop S-Mart

2019 ◽  
pp. 156-178
Author(s):  
José G. Vargas-Hernández ◽  
César Alejandro Polo-Navarro
Keyword(s):  
Corporate Social Responsibility ◽  
Literature Review ◽  
Social Responsibility ◽  
Service Company ◽  
Service Companies ◽  
The Social ◽  
Self Service ◽  
Corporate Social ◽  
A Company

The objective of this chapter is to make known the importance of the use of these practices in Mexican companies, the benefits they have in the community where they are implemented. The method used is the method in a descriptive way through the periodic notes of the regional self-service company S-Mart. The method is based on analysis of the literature review. The main conclusion is that the company seeks to compete against the large self-service companies through CSR trying to fulfill its mission as a company. It is also concluded that corporate social responsibility affects the social responsibility of the consumer to the extent that circumstances permit, positively or negatively.

Three Bottom Line (3BL) Dan Corporate Social Responbility (CSR) Dalam Peningkatan Company Images

2016 ◽  
Vol 1 (01) ◽  
pp. 1-12
Author(s):  
Chintia Margaretha Aprilliana
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Bottom Line ◽  
The People ◽  
Corporate Social ◽  
A Company

The Three Bottom Line or better known as 3BL, consists of three elements forming the People, Planet, Profit. Every company strives to always be the best and can continue to grow at a time through the company's purpose. Profit is the ultimate goal of a company, but that goal would not be run without the activities that integrate between society and the environment  therein.  Merging  the three  then  known as the Three Bottom line (3BL). 3BL It can be applied in balance between the elements with other elements through Corporate Social Responsibility (CSR). CSR not only can evidence the company cares about the environment or socio around but if the company is successful in a program that has been planned it can be sure the community will be more familiar with the company is a company which imaged well in other words the success of their Corporate Social Responsibility (CSR) as a step to implement 3BL with a more robust and balanced impact on improving   the   image   of   the   company   itself   (improving company images). This article will discuss the influence of the three bottom line is run through the CSR program with an increase in the company's images that are conceptual.

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