The Impact of Political Relations on Tax Aggressiveness with the Moderating Role of Human Resources Social Responsibility in Small and medium Enterprises in Tehran Stock Exchange

Document Type : Original Article

Authors

1 PhD student, Department of Business Administration, Faculty of Economics and administrative silences, University Of Mazandaran, Babolsar, Iran

2 Associate Professor, Department of Business Administration, Faculty of Economics and Administrative Sciences, University of Mazandaran, Babolsar , Iran.

10.22080/shrm.2023.4217

Abstract

In most countries, one of the most important and interesting topics in research is the discussion of tax aggressiveness, how it is measured, the factors affecting it, and the results obtained from it. Tax aggressiveness leads to countries' tax revenues being lower than the estimated amount. One of the main factors affecting management's motivations for tax aggressiveness in developing countries is the political factor of company managers due to the fact that the companies are state owned. On the other hand, social responsibility guided by the government can be effective in reducing corporate tax aggressiveness. This study attempts to investigate the impact of political connections on tax aggressiveness and identify the moderating role of human resources social responsibility in relation to these variables. The statistical population of the present study is small and medium sized companies active in Tehran Stock Exchange. For this purpose, 126 companies were selected by systematic elimination sampling method between 2014 to 2020. In this study, multivariate regression analysis with combination data whith fixed effects method in Eviews 9 software was used. The results indicate that the company's political connections affect on tax aggressiveness. Human resources social responsibility has a moderating role in the relationship between corporate political connections and tax aggressiveness.

Keywords

References

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