Proceedings of the 4th International Conference on Informatization Economic Development and Management, IEDM 2024, February 23–25, 2024, Kuala Lumpur, Malaysia

Research Article

Merge Tax Administration and Corporate Tax Evasion——Discussion on the Merger of National Taxation Bureau and Local Taxation Bureau

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  • @INPROCEEDINGS{10.4108/eai.23-2-2024.2345900,
        author={Yan  Su},
        title={Merge Tax Administration and Corporate Tax Evasion------Discussion on the Merger of National Taxation Bureau and Local Taxation Bureau},
        proceedings={Proceedings of the 4th International Conference on Informatization Economic Development and Management, IEDM 2024, February 23--25, 2024, Kuala Lumpur, Malaysia},
        publisher={EAI},
        proceedings_a={IEDM},
        year={2024},
        month={5},
        keywords={tax administration the merger of national taxation bureau and local taxation bureau corporate tax evasion},
        doi={10.4108/eai.23-2-2024.2345900}
    }
    
  • Yan Su
    Year: 2024
    Merge Tax Administration and Corporate Tax Evasion——Discussion on the Merger of National Taxation Bureau and Local Taxation Bureau
    IEDM
    EAI
    DOI: 10.4108/eai.23-2-2024.2345900
Yan Su1,*
  • 1: Anhui University
*Contact email: Suyan9811@163.com

Abstract

Utilizing data extracted from Chinese A-share listed companies during the period from 2013 to 2021, this study employs the merging of national taxation bureau and local taxation bureau as a quasi-natural experiment. Applying the Difference-in-Differences (DID) methodology, we explore the influence of the consolidated tax administration on corporate tax avoidance and perform rigorous validation tests. Empirical findings indicate that the integration of national and local tax bureaus can improve the transparency of tax source information, significantly reduce the extent of corporate tax evasion. This research enriches our understanding of the microeconomic effects of the consolidation of national and local tax bureaus, offering new empirical evidence to support further reforms in tax administration.