Using Financial Accounting Data to Examine the Effect of Foreign Operations Located in Tax Havens and Other Countries on US Multinational Firms' Tax Rates

2009 ◽  
Author(s):  
Scott Dyreng ◽  
Bradley P. Lindsey
Keyword(s):  
Multinational Firms ◽  
Financial Accounting ◽  
Tax Rates ◽  
Tax Havens ◽  
Accounting Data ◽  
Foreign Operations

Selecting Railway Investments in 1890s America

2017 ◽  
Vol 44 (1) ◽  
pp. 77-93
Author(s):  
Joel E. Thompson
Keyword(s):  
Financial Reporting ◽  
Accounting Information ◽  
Accounting Standards ◽  
Financial Accounting ◽  
Investment Strategies ◽  
Financial Accounting Standards Board ◽  
Accounting Data ◽  
Rational Decisions

ABSTRACT The purpose of financial reporting is to provide information to investors and creditors to help them make rational decisions (Financial Accounting Standards Board [FASB] 2010). Tracing the development of investors' methods should help with understanding the role of financial accounting. This study examines investment practices involving railways in 1890s America. As such, it furthers our knowledge about the development of investment methods and their necessary information. Moreover, it shows that as investment methods grew in sophistication, there was an enhanced demand for greater comparability in accounting data to make meaningful analyses. Competing investment strategies, largely devoid of accounting information, are also discussed.

And justice for all: human rights policy and performance in foreign operations of US-based multinational firms

2000 ◽  
Vol 2 (1) ◽  
pp. 39
Author(s):  
Priscilla R. Reis ◽  
Angeli E. Weller
Keyword(s):  
Human Rights ◽  
Multinational Firms ◽  
Foreign Operations ◽  
And Performance

scholarly journals Pengaplikasian Metode Activity Based Costing Pada Perhitungan Unit Cost di Pelayanan Kesehatan Gigi dan Mulut

2020 ◽  
Vol 8 (2) ◽  
pp. 101-110
Author(s):  
Rika Irma Yanti ◽  
Febrian Febrian ◽  
Desy Purnama Sari
Keyword(s):  
Data Collection ◽  
Dental Health ◽  
Unit Cost ◽  
Health Facilities ◽  
Financial Accounting ◽  
Cost Calculation ◽  
Activity Based Costing ◽  
Accounting Data ◽  
Dental Clinics ◽  
Cost Calculations

Dental clinic is one type of privateowned service enterprise providing dental and oral health services. In the current global era, dental clinics must be able to compete with other dental health facilities. Dental clinics are required to manage effectively clinical management, especially in financial accounting. Unit cost calculation using Activity Based Costing (ABC) method is a modern calculation. It has been implemented in several health facilities. The basic concept of ABC is a product derived from activities that will consume costs. The purpose of this paper is to provide an overview of the application of unit cost calculations with ABC in dental clinics. So it can formulated four steps of unit cost calculation with ABC as follows: preparation of data collection, data collection, ABC calculation of the first stage, ABC calculation of the second stage. The results of the calculation of unit cost with ABC are clinical financial accounting data which are used as a consideration in making desicion of the clinical strategy.

scholarly journals Cost with time can yield reliable and relevant financial accounting information

2004 ◽  
Vol 2 (1) ◽  
pp. 60-72 ◽  
Author(s):  
Eno L. Inanga ◽  
Bruce Schneider
Keyword(s):  
Decision Making ◽  
Accounting Information ◽  
Financial Statements ◽  
Financial Accounting ◽  
Corporate Accountability ◽  
Accounting Data ◽  
Historical Cost ◽  
Lead Users ◽  
Accounting Reports ◽  
Nominal Amount

It is generally accepted that one of the key financial accounting problems of the day is how to make financial accounting reports, as tools for corporate accountability and stewardship reporting, both reliable and relevant. Practitioners, rule makers, and academics are struggling with this dilemma that is inherent in historical cost financial statements. This paper suggests that historical cost, transactions- based accounting data is nominally reliable, which is an attribute of relevance, but it can be made timelessly relevant, if data about the precise date and time the nominal amount of the transaction was measured are made available to users. Furthermore, the presumption those company-related accountants and the auditors need to prepare a set of financial statements that they need to make relevant to an unknown set of users, should be abandoned. The valuation algorithm, the processes for making historical cost data relevant to situation-specific decision-making, are the prerogative and, most importantly, the responsibility of the users based on their perceptions of the dynamic, quantum world and their unique needs. The paper develops the logical reasons for the positions taken. It also argues that US-GAAP and the resulting financial statements may lead users of accounting information to allege that the financial statements are fraudulent. It is well-recognized by accountants and users that time, the details of which are currently under-reported, is a material fact related to the significance and usefulness of accounting information. Thus, the omission of facts about when the measurements were made, known to be important to understanding the reported information, may be the basis for the allegation of fraud.

Visualization of tax avoidance and tax rate convergence

2019 ◽  
Vol 27 (5) ◽  
pp. 695-724 ◽  
Author(s):  
Chika Saka ◽  
Tomoki Oshika ◽  
Masayuki Jimichi
Keyword(s):  
Tax Avoidance ◽  
Tax Rates ◽  
Cross Sectional ◽  
Effective Tax Rates ◽  
Accounting Data ◽  
Content Type ◽  
Tax Rate ◽  
Objective Evidence ◽  
New Perspective ◽  
Convergence Trend

Purpose This study aims to explore the evidence of the probability of firms’ tax avoidance and the downward convergence trend of national statutory tax rates and firms’ effective tax rates. Design/methodology/approach This research employs exploratory data analysis using interactive data manipulation and visualization tools, namely, R with SparkR, dplyr, ggplot2 and googleVis (GeoChart and Motion Chart) packages. This analysis is based on the world-scale accounting data of all listed firms from 148 countries spanning 30 years. Findings The results reveal the following: three types of evidences on probability of firms’ tax avoidance, showing a non-random distribution of firms’ effective tax rates and return on assets, cross-sectional variation of firms’ effective tax rates in each country, and the trend of difference between effective tax rates and statutory tax rates, and the downward convergence trend of statutory tax rates and firms’ effective tax rates. Practical implications The results highlight the prominent issues of world-scale tax avoidance and tax rate competition and facilitate a collaborative discussion between laymen and professionals using objective evidence. Originality/value A novel methodology is adopted through the visualization of world-scale accounting data, which can facilitate a new perspective, revealing unexpected patterns and trends in otherwise hidden information. This study also highlights the importance of global consideration of firms’ tax avoidance and tax rate competition, using objective evidence.

scholarly journals Detection of Anomalies in Accounting Data Using Benford’s Law: Evidence from India

2016 ◽  
Vol 4 (1) ◽  
pp. 123 ◽  
Author(s):  
Ramesh Chandra Das ◽  
Chandra Sekhar Mishra ◽  
Prabina Rajib
Keyword(s):  
Business Group ◽  
Financial Accounting ◽  
Benford’S Law ◽  
Accounting Data ◽  
Large Size ◽  
Indian Context ◽  
Fixed Assets ◽  
Benford's Law ◽  
Initial Results ◽  
Direct Tax

This study uses the financial accounting data to examine if they depart from Benford’s Law. Using large sample of Indian public listed companies, the study conducts an analysis of the “first digit analysis”, “second digit analysis”, and “first two digit analysis “of test variables such as total assets, receivables, fixed assets, property, plant and equipment, inventory, current assets, current liabilities, sales, selling and distribution expenses, cost of goods sold, cash, EBIT, direct tax, indirect tax. The initial results find that most of the variables have significant deviation from Benford’s Law distribution. Further analyses indicate that business group firms indulge more data anomalies than standalone firms and small size firms have more data anomalies than large size firms in Indian context.

scholarly journals Are Less Developed Countries More Exposed to Multinational Tax Avoidance? Method and Evidence from Micro-Data

2019 ◽  
Vol 34 (3) ◽  
pp. 790-809 ◽  
Author(s):  
Niels Johannesen ◽  
Thomas Tørsløv ◽  
Ludvig Wier
Keyword(s):  
Developing Countries ◽  
Multinational Firms ◽  
Tax Avoidance ◽  
Institutional Development ◽  
Developed Countries ◽  
Less Developed Countries ◽  
Tax Rates ◽  
Profit Shifting ◽  
Novel Approach ◽  
Data Requirements

Abstract This paper uses a global dataset with information about 210,000 corporations in 142 countries to investigate whether tax avoidance by multinational firms is more prevalent in less-developed countries. The paper proposes a novel approach to studying cross-border profit shifting, which has relatively low data requirements and is therefore particularly well-suited for the context of developing countries. The results consistently show that the sensitivity of reported profits to profit-shifting incentives is negatively related to the level of economic and institutional development. This may explain why many developing countries opt for low corporate tax rates in spite of urgent revenue needs and severe constraints on the use of other tax bases.

Challenges of Monitoring Tax Compliance by Multinational Firms: Evidence from Chile

2019 ◽  
Vol 109 ◽  
pp. 500-505
Author(s):  
Sebastián Bustos ◽  
Dina Pomeranz ◽  
José Vila-Belda ◽  
Gabriel Zucman
Keyword(s):  
Multinational Firms ◽  
Transfer Pricing ◽  
Tax Avoidance ◽  
Tax Compliance ◽  
Tax Rates ◽  
Profit Shifting ◽  
Effective Tax Rates ◽  
Arm’S Length Principle ◽  
Debt Shifting

This paper reviews common challenges of taxing multinational firms, using Chile as a case study. We briefly describe key international tax avoidance methods: profit shifting to low-tax jurisdictions through transfer pricing and debt shifting. We discuss the prevalent policy to tax multinationals--the arm's length principle--and alternative proposals using apportionment formulas. Novel data from Chile show that multinationals make up a large share of GDP but report lower profit and effective tax rates than local firms. In 2011, Chile implemented a reform following OECD guidelines to enforce the arm's length principle. We discuss potential effects on tax collection and welfare.

Sign in / Sign up

Export Citation Format

Share Document