Examining the Link Between Corporate Tax Planning and Value of Oil and Gas Firms in Nigeria

Authors

  • Armayau Alhaji Sani ACCOUNTING, BANKING AND FINANCE DEPARTMENT, TISHK INTERNATIONAL UNIVERSITY, Iraq
  • Isah Umar Kibiya Yusuf Maitama Sule University- Kano, Nigeria
  • Hussaini Bala Tishk International University, Nigeria
  • Sa’adatu Balarabe Adam National Open University of Nigeria, Nigeria

DOI:

https://doi.org/10.51263/jameb.v8i2.192

Keywords:

Tax Planning, Firms Value, Book-tax difference, Effective Tax Rate, Oil and Gas Companies

Abstract

This research examined how corporate tax planning influences the value of companies listed in the oil and gas (O&G) in Nigeria. The data for the study was extracted from the annual accounts of the sampled firms, covering a period from 2009 to 2021. Longitudinal panel data was employed, and the data collected was analyzed by means of multiple regression techniques. The results of the data analysis reveal that the current ETR has a negative, insignificant influence on the market value. However, it is established that the modified book-tax difference (mBTD) significantly influences the value of companies in the O&G sector. The study recommends that O&G companies institute more robust tax strategies that will help to achieve a minimum tax burden and higher value for the firms.

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Published

2024-05-12

Issue

Vol. 8 No. 2 (2024): Jurnal Aplikasi Manajemen, Ekonomi dan Bisnis

Section

Economic

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