The Relationship between Organizational Characteristics, Tax Planning and Firm Performance of Listed Companies in the Stock Exchange of Thailand
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Abstract
This study examines the relationship between organizational characteristics and tax planning, as well as the relationship between tax planning and the performance of listed companies on the Stock Exchange of Thailand. The population consists of listed firms across seven industrial sectors, excluding financial businesses, trusts, funds, companies under rehabilitation, and those listed on the MAI. A sample of 270 firms was selected, and secondary data were obtained from annual reports for the year 2021.
Descriptive analysis reveals that the average ETR is 15.10, TAX/ASSET is 0.27, and TAX/CFO is 0.01. Multiple regression results indicate that the resource, agriculture and food, and industrial product sectors exhibit a negative relationship with the ETR, while the resources and services sectors show a negative relationship with TAX/CFO. Firm size is negatively associated with TAX/ASSET. Moreover, ETR demonstrates a negative relationship with firm performance, whereas TAX/ASSET shows a positive relationship. The findings suggest that effective tax planning can enhance corporate performance. Regulatory authorities can apply these results to design targeted tax incentives for specific industries, while firms can use them to develop tax planning strategies aligned with their organizational goals.
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