Corporate tax disclosure on a CSR basis: a new reporting framework in the post-BEPS era

• Published in: Accounting, auditing & accountability journal auditing & accountability journal, 2019-11, Vol.32 (7), p.2167-2192
• Main Authors: De la Cuesta-González, Marta, Pardo, Eva
• Format: Article
• Language: English
• Subjects: Academic staff; Accountability; Aggressiveness; Behavior; Civil society; Compliance; Corporate debt; Corporate income tax; Corporate profits; Corporate taxes; Data; Disclosure; Discourse analysis; Economic crisis; Initiatives; Institutional investments; Intellectual property; International finance; Interviews; Investors; Jurisdiction; Litigation; NGOs; Nongovernmental organizations; Perceptions; Profitability; Profits; Property rights; Public awareness; Qualitative research; Social development; Social responsibility; Stakeholders; Stockholders; Subsidies; Sustainability reporting; Tax havens; Tax rates; Tax regulations; Taxation; Wealth
• ISSN: 0951-3574; 1758-4205
• DOI: 10.1108/AAAJ-12-2017-3282

Purpose The purpose of this paper is to explore the emerging discourse on corporate taxation from a corporate social responsibility perspective to develop a consensual definition of corporate tax responsibility (CTR) and to identify a set of indicators that firms should publicly communicate to their stakeholders as an accountability mechanism. Design/methodology/approach Data were obtained from semi-structured interviews with representatives of stakeholders closely related to taxation: tax authorities, companies, NGOs, tax advisors and academics. Based on a discourse analysis approach, data were coded and analyzed using computer-assisted qualitative data analysis software. Findings CTR is defined as the set of tax-related practices and policies that allow companies to pay a fair share of taxes as a function of the generated value in each jurisdiction in which they operate and to then publicly disclose them. Disclosure should cover disaggregated quantitative data and information on practices and policies. Originality/value Despite the wealth of research on sustainability reporting and increasing public awareness of tax aggressiveness and disclosure, academic research has not explored tax-responsible reporting. Moreover, no consensual definition of CTR has been formulated, and no indicators to properly account for responsible taxation have been identified. This paper contributes to filling these gaps by providing rich interview evidence regarding the nature of the emerging discourse on CTR reporting and a set of material indicators for CTR disclosure. This paper encourages researchers to foster the development of social accountability by engaging in future empirical studies of CTR.