RETRACTED: CEO power and corporate tax avoidance in emerging economies: does ownership structure matter?
Journal of Accounting in Emerging Economies
ISSN: 2042-1168
Article publication date: 28 May 2024
Issue publication date: 1 October 2024
Retraction notice
The publisher of Journal of Accounting in Emerging Economies wishes to retract the article Dakhli, A. (2024), “CEO power and corporate tax avoidance in emerging economies: does ownership structure matter?”, Journal of Accounting in Emerging Economies, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/JAEE-06-2023-0181. It has come to our attention that a large portion of this article is taken from an earlier original work by Ahmed Atef Oussii and Mohamed Faker Klibi (2024), “The impact of CEO power on corporate tax avoidance: the moderating role of institutional ownership”, Corporate Governance, Vol. 24 No. 4, pp. 725-742. https://doi.org/10.1108/CG-02-2023-0067. As part of an investigation into the article’s originality, the author was requested to provide a copy of the dataset so that the editorial team could verify the findings. The author was unable to provide the dataset for this article. The submission guidelines for Journal of Accounting in Emerging Economies make it clear that articles must be original. The author of this article would like to note that they do not agree with the content of this notice. The publisher of the journal sincerely apologizes to the readers.
The retracted article is available at https://doi.org/10.1108/JAEE-06-2023-0181
Abstract
Purpose
The purpose of this paper is to study how CEO power impact corporate tax avoidance. In particular, this paper aims to empirically examine the moderating impact of institutional ownership on the relationship between CEO power and corporate tax avoidance.
Design/methodology/approach
The multivariate regression model is used for hypothesis testing using a sample of 308 firm-year observations of Tunisian listed companies during the 2013-2019 period.
Findings
The results show that CEO power is negatively associated with corporate tax avoidance and that institutional ownership significantly accentuates the CEO power’s effect on corporate tax avoidance. This implies that CEOs, when monitored by institutional investors, behave less opportunistically resulting in less tax avoidance.
Practical implications
Our findings have significant implications for managers, legislators, tax authorities and shareholders. They showed that CEO duality, tenure and ownership can mitigate the corporate tax avoidance in Tunisian companies. These findings can, hence, guide the development of future regulations and policies. Moreover, our results provide evidence that owning of shares by institutional investors is beneficial for reducing corporate tax avoidance. Thus, policymakers and regulatory bodies should consider adding regulations to the structure of corporate ownership to promote institutional ownership and consequently control corporate tax avoidance in Tunisian companies.
Originality/value
This study differs from prior studies in several ways. First, it addressed the emerging market, namely the Tunisian one. Knowing the notable differences in institutional setting and corporate governance structure between developed and emerging markets, this study will shed additional light in this area. Second, it proposes the establishment of a moderated relationship between CEO power and corporate tax avoidance around institutional ownership. Unlike prior studies that only examined the simple relationship between CEO power and corporate tax avoidance, this study went further to investigate how institutional ownership potentially moderates this relationship.
Keywords
Citation
Dakhli, A. (2024), "RETRACTED: CEO power and corporate tax avoidance in emerging economies: does ownership structure matter?", Journal of Accounting in Emerging Economies, Vol. 14 No. 5, pp. 1127-1155. https://doi.org/10.1108/JAEE-06-2023-0181
Publisher
:Emerald Publishing Limited
Copyright © 2024, Emerald Publishing Limited