Research On The Impact Of Digital Tax Collection And Administration On The Accounting Information Quality

Accounting information conveys the financial status,operating results and cash flow of enterprises to stakeholders.The accounting information quality is an important basis for evaluating the quality of economic high-quality development in China.With the advent of the digital era,the accuracy and efficiency of accounting information has been further improved,however,this has brought about problems such as diverse means of manipulating the accounting information.Therefore,different accounting information quality has different impact on the country’s high-quality economic development.The government,as the dominator in country governance,is economically motivated,politically responsible and legally dominated.The government has the right to tax corporate profits,and tax collection and management is a tool for the government to involve in governance activities.So,in the era of big data,how the government use digital technology to involve in corporate governance and play a supervisory role effectively is getting more and more attention.This paper explores the impact of digital tax collection and administration on the accounting information quality from both theoretical and empirical levels.First,this paper clarifies the logic of the government’s use of digital tax collection and administration to influence the accounting information quality based on stakeholder theory and principal-agent theory.Secondly,this paper selects non-financial A-share listed enterprises from 2010-2019 as the research subjects,adopting a quasi-natural experiment based on “the China Tax Administration Information System Phase III” to analyze the impact of digital tax administration on the accounting information quality by using a multi-time difference-in-difference method.Furthermore,based on the information asymmetry theory,this paper analyzes the paths of digital tax collection and administration affecting the accounting information quality from both internal control and external supervision.After that,heterogeneity analysis is conducted for enterprise property and size,and the impact of digital tax collection and administration on accounting information quality in different corporate governance issues.The main findings of this paper are as follows:(1)Main regression analysis finds that digital tax collection and can significantly improve the accounting information quality.(2)Mechanism analysis finds that the impact of digital tax collection on accounting information quality differs in environments with different information transparency,and there are some substitution effects between digital tax collection and internal control as well as external supervision respectively.(3)Heterogeneity analysis finds that,digital tax collection can significantly improve the accounting information quality of non-state enterprises and micro and small enterprises,and digital tax collection plays a governance role for both agency-based and deprivation-based corporate governance issues.Based on the research findings,this paper puts forward recommendations as follows:(1)Promote the tax collection and administration system,improve the construction of intelligent taxation,and form a long-term mechanism of tax collection and administration.(2)Explore new ideas of tax collection and management activities and focus on tax governance effects.(3)Create an all-round supervision system and form a multi-body supervision network,with particular attention to the supervisory role of the media.(4)Improve the internal control system and strengthen the internal governance of enterprises.The possible innovations of this paper are as follows: first,the perspective is novel.Based on the existing research,this paper refines the mechanism by which digital tax collection affects the accounting information quality,analyzes the impact of digital tax collection on the accounting information quality with internal and external information transparency,explores the relationship between digital tax collection and the role of internal control and external supervision.Second,the empirical model is refined.Based on the existing research on multi-temporal difference-in-difference model using “the China Tax Administration Information System Phase III” as the policy shock,this paper adds regional-level control variables and further clusters the data to the city level in order to measure the net effect of digital tax administration more precisely.The findings of this paper demonstrate that digital tax collection can strengthen governance of accounting information,confirm the important role of government as an external supervisor on corporate governance and provide rich empirical evidence for research in related fields.