The Relationship Between Book Profit and Taxable Income from a Research Perspective - Evidence Based on Corporations in Poland
AbstractOne of the major obstacles faced by research into corporate taxation is connected with the lack of empirical data. Since tax returns are not publically available due to confidentiality requirements, firms' financial statements seem to be an alternative. The aim of the paper is to analyze whether financial statements are an adequate and useful source of information from the perspective of a researcher searching for data proper for a quantitative analyses of corporate taxation. The investigation is aimed at answering the following questions: In what way do corporations present their income tax liabilities and deferred taxes in profit and loss accounts? How can the amount of the tax due be derived from financial statements and what is the accuracy of the applied formula? To what extent do companies incurring book losses have also a zero tax base? The research is based on the financial statements of companies (4.059 observations within the period of four years), which were obliged to publish them in the official register Monitor Polski B, which is accessible in the database of Emerging Markets Information Services. The method applied in the paper is based on an analysis of particular items of firms' financial statements and their formulabased adjustment.
|Journal series||Journal of Economics and Management, ISSN 1732-1948, (B 12 pkt)|
|Publication size in sheets||0.7|
|Keywords in English||book tax differences, book tax conformity, corporate income tax, tax accounting|
|Score|| = 8.0, 13-12-2019, ArticleFromJournal|
= 12.0, 13-12-2019, ArticleFromJournal
|Citation count*||6 (2020-07-27)|
* presented citation count is obtained through Internet information analysis and it is close to the number calculated by the Publish or Perish system.