Reports from University of Economics Ho Chi Minh City Highlight Recent Research in Risk Management (Firm Risk and Tax Avoidance in Vietnam: Do Good Board Characteristics Interfere Effectively?): Insurance – Risk Management

2023 FEB 24 (NewsRx) -- By a News Reporter-Staff News Editor at NewsRx Policy and Law Daily -- New study results on risk management have been published. According to news originating from Ho Chi Minh City, Vietnam, by NewsRx correspondents, research stated, “This paper investigates the role of board characteristics in the relationship between tax avoidance behavior and corporate risk tolerance to elucidate the importance of corporate governance mechanisms.”

Funders for this research include University of Economics Ho Chi Minh City, Vietnam; University of Finance-marketing.

The news reporters obtained a quote from the research from University of Economics Ho Chi Minh City: “The applied methodology is System-GMM for 334 listed corporations in Vietnam from 2008 to 2020 to avoid endogenous problems in our models. The main findings are that higher (lower) corporate risk-taking is related to higher (lower) corporate tax avoidance if the size of the board of directors and the supervisory board are larger (lower) than six and three members, respectively. Furthermore, if the board independence ratio is lower than 48.63%, an increase in corporate risk-taking leads to increased tax avoidance.”

According to the news editors, the research concluded: “Our results support the argument that the influence of corporate risk-taking on tax avoidance behavior is governed by governance structure. Therefore, the practical implications will be towards building the optimal governance mechanism for enterprises in Vietnam.”

For more information on this research see: Firm Risk and Tax Avoidance in Vietnam: Do Good Board Characteristics Interfere Effectively?. Risks, 2023,11(2). (Risks - http://www.mdpi.com/journal/risks). The publisher for Risks is MDPI AG.

A free version of this journal article is available at https://doi.org/10.3390/risks11020039.

Our news journalists report that more information may be obtained by contacting Trung Kien Tran, School of Public Finance, College of Economics, Law and Government, University of Economics Ho Chi Minh City, Ho Chi Minh City 700000, Vietnam. Additional authors for this research include Minh Tuan Truong, Kim Tu Bui, Phung Duc Duong, Minh Vuong Huynh, Tran Thai Ha Nguyen.

ORCID is an identifier for authors and includes bibliographic information. The following is ORCID information for the authors of this research: Trung Kien Tran (http://orcid.org/0000-0002-1205-3746), Minh Tuan Truong (http://orcid.org/0000-0002-7609-1303), Phung Duc Duong (http://orcid.org/0000-0003-1560-7385), Tran Thai Ha Nguyen (http://orcid.org/0000-0003-2598-3720).

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