The Research On Tax Avoidance Motivation Of Earnings Management In Listed Companies

From the previous foreign research achievements, the companies’ earningsmanagement motivations include: the motivation of capital market system,, themotivation of debt contract, the political cost drivers and tax motives and so on. Ourcountry’s study confirmed that the motivation of capital market system, the motivation oflisted company executives’ bonus, the motivation debt contract, the existence of thepolitical cost driver. However, the study on tax avoidance motive earnings managementresearch was relatively few, while the corporate income tax reform of2008which reducedtax rates provided a strong background for the study the motivation of corporate taxavoidance.First, under the background of the corporate income tax rate decreased in2008,usingthe method of regression analysis, I proved the companies which the tax rate decreasedfrom2007to2008transfered the profits to achieve the purpose of tax avoidance, so wecan forecast that company will transfer income tax to achieve the tax avoidance when theyexpect the tax ration decreasing.Secondly, the author of our accounting and tax systems and related research at homeand abroad, from the accounting system and tax laws that caused the system level analysisof accounting-tax differences of factors, in turn, the enterprise’s earnings management behavior and avoidance of Accounting-Tax differences are analyzed. China’s industry onaccounting theory and practice-Generally, the discussion of the tax difference betweenthe two systems remain in terms of the qualitative differences between the comparison,little literature on accounting-Differences in the taxable profit or loss for quantitativestudy of factors, but none of the two Species differences in the context of the enterprisesystem, earnings management behavior.Finally, I come to, the conduct of business shall be denominated a tax avoidancemotive contains, in addition, deferred tax assets and liabilities recognized assetimpairment losses and other tax avoidance is also an effective tool for the enterprise.