Corporate Tax Avoidance: Evidence From Trading and Services Companies
Table 2: Measurement of financial variables
Financial variable | Proxy | Measurement |
Corporate Tax Avoidance | ETR | Income tax / Pre-tax Income |
Financial Manipulation | M-score | Beneish Model |
Leverage | Debt Ratio | Long Term Debt / Total Asset |
Size | Firm Size | Total Asset |
Profitability | Return on Asset | Net Income / Total Asset |