Research On The Influence Of CEO Turnover On Tax Planning

Since the 1960 s,the issue of CEO turnover has aroused much attention among domestic scholars.In recent years,with the intensification of market competition,CEO turnover in China is on the rise.Worthy of our attention is that before the CEO changes,the enterprise performance is usually poor but effective tax-planning activities enable the CEO to find a "shortcut",which can assist them reach the maximization of the profit after taxing of the enterprise.In this regard,from the perspective of CEO turnover,this research is an attempt to analyze the correlation of the two factors.By reviewing the related domestic and foreign literature,this thesis put forward the research hypothesis based on the theoretical analysis.Then according to the research hypothesis,this thesis constructs the models based on the samples from the listed companies in Shanghai and Shenzhen Stock Exchange from 2009 to 2015 and CEO turnover events between 2009 and 2013.In the empirical analysis part,first of all,this thesis has carried on the descriptive statistical analysis in the selected samples.Then using variables to do the correlation analysis.Later,on the basis of research model,a regression statistical analysis and further testing are performed in the sample of this thesis.Finally,a robust test is conducted.The results show that the CEO changes will increase the level of corporate tax-planning and the impact on the level of tax-planning in the first year is usually greater.Whether the CEO change is regular or irregular will increase the level of tax-planning,but compared with regular change,irregular changes have more significant positive impact on tax-planning.The financial background differences and similarities between the former CEO and the successor will have different impact on tax-planning.If the financial background is different between them,the degree of tax-planning would have a more significant positive impact while the former and the successor have similar background,the significance would reduce.Finally,the research made a conclusion based on the above research results and with implications for future practice and research,the limitation of this research is stated afterwards.