Tax Credit Rating And Corporate Real Earnings Management

Unlike traditional compulsory tax collection measures,the tax credit rating system as a new "flexible tax collection" system not only relates to the construction of modern tax system,but also relates to the success or failure of the social credit system construction.The tax credit rating system influences different rated enterprises by announcing the rating results to the market.In theory,this paper first proves that the tax credit rating has additional information value and can reduce the degree of real earnings management of enterprises;secondly,this paper proves that the tax credit rating will suppress the real earnings management behavior of enterprises by alleviating the financing constraints of enterprises and reducing the agency costs of enterprises;finally,this paper further considers the influence of heterogeneity from four aspects of property nature,regional marketization level,external audit quality and internal governance level.In terms of empirical study,this paper uses data of A-share listed companies from 2009 to 2020 for empirical research,and finds that(1)the tax credit rating system can reduce the degree of real earnings management of enterprises rated as A;(2)the tax credit rating system mainly affects the real earnings management of enterprises through two mechanisms of alleviating the financing constraints of enterprises and reducing the agency costs of enterprises;(3)in non-state-owned enterprises,enterprises in regions with low marketization level,low external audit quality and low internal governance level,the tax credit rating system has a stronger suppressing effect on the real earnings management behavior of enterprises rated as A.The research conclusions of this paper affirm the role played by the tax credit rating system in suppressing the real earnings management of enterprises.This paper confirms that the tax credit rating system as a special credit rating system with government authentication and national endorsement has a directional effect on enterprise behavior.Enterprises will have marginal benefits by taking initiative to comply with tax regulations,which are reflected in earnings management behavior.Under the multiple backgrounds of implementing the innovation-driven development strategy,deepening the reform of tax collection and administration system,and accelerating the construction of social credit system in China,the success or failure of credit construction in tax field is of great importance.The conclusions of this paper are conducive to testing the implementation effect of tax credit rating system construction in recent years,whether the expected policy goals have been achieved,whether the enterprises recognized by the state as tax-paying honest enterprises have adhered to honesty in other aspects,especially financial behavior.At the same time,by exploring the influence of tax credit on corporate earnings management and specific mechanisms,it is beneficial for the government to make good use of the policy means of tax credit rating to supervise and manage corporate earnings management,improve the quality of corporate accounting information,and provide academic references for solving the "tumor" of accounting information distortion.Thus,it will better promote the credit construction in the tax field,the construction of social credit system and the implementation of "honest socialist values".