The effect of CEO's risk-taking characteristics, CEO's overconfidence and capital intensity on tax avoidance

The purpose of the research: 

The purpose of the current research is to investigate the effect of the CEO's risk-taking characteristics, the CEO's overconfidence and capital intensity on tax avoidance.

based on the purpose, the present research is of an applied type and from the point of view of the inference method, it is of a descriptive-analytical type. The scope of the research covers the period of 10 years from 1390 to 1400 and the place of research is the Tehran Stock Exchange and the companies admitted to the stock exchange. In order to check the validity of the research hypotheses, multivariate regression based on mixed data with fixed effects and Eviuse 11 software was used.

The results of the research hypotheses showed that the CEO's risk-taking has a significant and positive effect on the company's tax avoidance. Overconfidence of the CEO has a significant and positive effect on tax avoidance. Capital intensity has a significant and negative effect on tax avoidance.

The manager's risk-taking preferences have a positive relationship with the positive return on monetary value. A positive value means that a risk-taking CEO is willing to act more daringly to earn more profit than tax costs and engage more in tax evasion and avoidance processes. Based on the higher ladder theory, senior management characteristics affect organizational results. An overconfident CEO acts based on his own ability and experience to lead a company. The greater the capital intensity, the greater the tax avoidance. On the other hand, the lower the capital intensity, the lower the tax avoidance.