재량적 수익과 조세회피의 관련성

This study investigate between the relevance of discretionary revenue recognition and tax avoidance. So far, There has been no empirical researches the effect of opaque financial reporting environment measured by discretionary revenue recognition on tax avoidance. While the preceding study mainly measured discretionary accruals and real earnings management, this study is expected to provide additional contributions amid a lack of research on discretionary revenues. To examine our hypothesis, 6,553 firm-year analyses were conducted from 2006 to 2017 of KOSPI and KOSDAQ market. The discretionary revenues were measured by the research methodology presented in Stubben(2010) and Caylor(2010) and the tax avoidance was measured at the long-term effective tax rate. The analysis results are as follows. First, discretionary revenue was found to have a significant positive association with tax avoidance. This can be interpreted as an discretionary revenues alleviated the tax burden on the entity. Second, the effect of the size of discretionary revenue on tax avoidance by measuring discretionary revenue at an absolute value was analyzed, and the larger the size of discretionary revenue recognition, the higher the level of tax avoidance was. Third, when we measured discretionary revenues over a period of time, the sum of the three-year or we also found that the volatility of the previous three-year discretionary revenue is positive association with tax avoidance. Fourth, similar results to the main analysis results could also be derived if an entity considered an alternative measure of discretionary revenue or measured at a single-year effective tax rate rather than the cumulative effective tax rate. This study is meaningful as it confirms the effect of management’s discretionary revenue recognition on tax avoidance by expanding the method of earnings management, which was mainly limited to discretionary accruals and real earnings management.