%0 Journal Article
%T Cultural Values and Corporate Tax Avoidance: An Empirical Evidence from Vietnam
%A Nghi Huu Phan
%J Journal of Organizational Behavior Research
%@ 2528-9705
%D 2021
%V 6
%N 2
%R 10.51847/fzBCy1LSWm
%P 18-30
%X The present paper aims to examine the impact of cultural values on the corporate tax avoidance behavior of Vietnamese firms. Data is collected from over 6,000 firms over the period 1998-2018 and then analyzed by using the panel fixed-effect model. In general, the findings imply that firms that operate in high uncertainty avoidance cultures are less probable to be involved in corporate tax avoidance practice. This might be because high uncertainty avoidance cultures tend to be less competitive and are uncomfortable with ambiguity and inequality and thus, they are less probable to refrain from tax. In contrast, masculinity culture will lead to more tax avoidance behavior in firms. The feasible explanation is that masculine culture emphasizes competition and tends to engage in riskier and unethical activities which consequently lead to a higher probability of tax avoidance. This paper provides the first and unique empirical evidence about the role of cultural values in shaping firm tax avoidance behavior in Vietnam and thus, the findings of the study can draw policy implications for both shareholders and policy regulators.
%U https://odad.org/article/cultural-values-and-corporate-tax-avoidance-an-empirical-evidence-from-vietnam-qf5kyiwzvknkew8