The Impact On Earnings Management Caused By Business Tax Paid VAT In Transportation Industry

This paper studies the impact on earnings management caused by Business tax paid VAT in transportation industry and by which means to influence earnings management behavior of enterprises.In this paper,based on impact of actual tax burden caused by Business tax paid VAT.the author analyzed tax costs of different tax profits constitute items and divided the profit structure tax into three categories respectively,which are non-taxable items,taxable 1 and taxable items 2,and then analyzed the earnings management structure select of transportation industry.Thus described the the relationship between Business tax paid VAT and earnings management behavior.In November 2011,the Ministry of Finance and State Administration of Taxation jointly issued "to carry out transportation companies and some modern service industry in Shanghai business tax reform VAT pilot notice"(Cai Shui [2011] No.111)this file clearly defined to carry out part of modern transportation and business services VAT tax reform pilot in Shanghai from 1st January 2012,opened the prelude to the expansion of VAT reform.At present,the reform has been and intends to expand to more than 10 provinces and cities nationwide.The tax system is not only closely related to the economic and social development,but also have an important impact on the company's results of operations,thus closely related to the corporate earnings managementThis paper analyzed the background and significance of the article,through a review of literature and research,and then put forward the goal of this paper,innovation points.this paper take the following theories as basis,which are Tax-neutral theory,the theory of tax effects,most turnover tax profit maximization theory and the theory of earnings management,the goal of corporate financial management goal,the company's earnings management behavior have reduced the tax burden of motivation,the possible earnings management structure changes that may be caused by Business tax paid VAT,the hypothesis put forward in this paper.Finally,this article research hypotheses for empirical research.The main purpose of this paper is to study the impact on earnings of different management structures Turnover Tax and the impact on different transport earnings management structure of earnings management under the background of Business tax paid VAT in transportation industryIn this paper,the author take 2010--2014 listed transportation companies' s five years data as the study sample and using the modified Jones model to measure out transportation earnings management degree,and further validates the Business tax paid VAT to increase the impact of policies on earnings management;Next,divided the sample into two sub-samples,before and after the Business tax paid VAT,study two samples of the choice of earnings management structure...