Corporate tax savings when hiring a Big 4 auditor: Empirical evidence for Belgium
In this paper we show that hiring a Big 4 auditor results in substantial corporate income tax savings, compared to hiring a non-Big 4 auditor. Our results are obtained from an empirical model that controls for other factors that may affect companies' income tax burdens. We use a population of larger Belgian firms between 1993 and 2002. The findings suggest that Big 4 audited firms provide (explicitly or implicitly) additional tax expertise which is transferred to their clients and lowers their effective tax rates compared to non-Big 4 audited firms.
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Dokumenttyp: | workingPaper |
Erscheinungsdatum: | 2005 |
Schlagwörter: | Belgian firms / Income taxes / Model / Performance / Research / Tax rates / Value / Belgium / Binary regression / Companies / Corporate taxes / Effective tax rates / Factors / Finite-sample efficiency / Firms |
Sprache: | Englisch |
Permalink: | https://search.fid-benelux.de/Record/base-26526555 |
Datenquelle: | BASE; Originalkatalog |
Powered By: | BASE |
Link(s) : | http://hdl.handle.net/2078/118725 |