Table 6. Impact of CbCr on the...

Table 6.

Impact of CbCr on the relationship between negative media coverage of ESG and tax avoidance

Dependent variable	Avg3_GAAP_ETR	Avg3_GAAP_ETR	Avg3_GAAP_ETR	Avg3_Cash_ETR	Avg3_Cash_ETR	Avg3_Cash_ETR
Panel A: full sample
Const	−0.535 (1.464)	−0.415 (1.463)	−0.397 (1.463)	−0.704 (1.717)	−0.513 (1.716)	−0.528 (1.720)
NegM_peak_FY	0.002 (0.006)			0.015** (0.007)
NegM_peak_Q4		0.002 (0.005)			0.017*** (0.006)
NegM_peak_Q4Q1			0.002 (0.006)			0.014** (0.007)
CbCr	−0.002 (0.010)	−0.001 (0.010)	−0.001 (0.009)	−0.001 (0.012)	0.002 (0.011)	0.003 (0.011)
NegM_peak_FY × CbCr	0.020*** (0.006)			0.011 (0.008)
NegM_peak_Q4 × CbCr		0.019*** (0.005)			0.009 (0.006)
NegM_peak_Q4Q1 × CbCr			0.020*** (0.006)			0.008 (0.007)
Controls	Yes	Yes	Yes	Yes	Yes	Yes
N	2,309	2,309	2,309	2,142	2,142	2,142
R² (overall)	0.12	0.13	0.13	0.14	0.14	0.14
Wald Chi²	185.99***	191.10***	190.99***	165.69***	171.42***	163.98***
Panel B: exclusion of financial firms
Const	−0.361 (1.655)	−0.232 (1.654)	−0.203 (1.653)	−0.513 (1.856)	−0.321 (1.855)	−0.387 (1.858)
NegM_peak_FY	0.002 (0.006)			0.014* (0.007)
NegM_peak_Q4		0.002 (0.006)			0.016** (0.006)
NegM_peak_Q4Q1			0.004 (0.006)			0.014** (0.007)
CbCr	0.008 (0.013)	0.010 (0.013)	0.007 (0.013)	0.008 (0.015)	0.010 (0.015)	0.011 (0.015)
NegM_peak_FY × CbCr	0.023*** (0.007)			0.011 (0.008)
NegM_peak_Q4 × CbCr		0.021*** (0.006)			0.009 (0.007)
NegM_peak_Q4Q1 × CbCr			0.024*** (0.006)			0.009 (0.007)
Controls	Yes	Yes	Yes	Yes	Yes	Yes
N	1,760	1,760	1,760	1,633	1,633	1,633
R² (overall)	0.13	0.14	0.14	0.15	0.16	0.16
Wald Chi²	149.31***	154.62***	158.12***	147.62***	152.73***	148.48***

Dependent variable	Avg3_GAAP_ETR	Avg3_GAAP_ETR	Avg3_GAAP_ETR	Avg3_Cash_ETR	Avg3_Cash_ETR	Avg3_Cash_ETR
Panel A: full sample
Const	−0.535 (1.464)	−0.415 (1.463)	−0.397 (1.463)	−0.704 (1.717)	−0.513 (1.716)	−0.528 (1.720)
NegM_peak_FY	0.002 (0.006)			0.015** (0.007)
NegM_peak_Q4		0.002 (0.005)			0.017*** (0.006)
NegM_peak_Q4Q1			0.002 (0.006)			0.014** (0.007)
CbCr	−0.002 (0.010)	−0.001 (0.010)	−0.001 (0.009)	−0.001 (0.012)	0.002 (0.011)	0.003 (0.011)
NegM_peak_FY × CbCr	0.020*** (0.006)			0.011 (0.008)
NegM_peak_Q4 × CbCr		0.019*** (0.005)			0.009 (0.006)
NegM_peak_Q4Q1 × CbCr			0.020*** (0.006)			0.008 (0.007)
Controls	Yes	Yes	Yes	Yes	Yes	Yes
N	2,309	2,309	2,309	2,142	2,142	2,142
R² (overall)	0.12	0.13	0.13	0.14	0.14	0.14
Wald Chi²	185.99***	191.10***	190.99***	165.69***	171.42***	163.98***
Panel B: exclusion of financial firms
Const	−0.361 (1.655)	−0.232 (1.654)	−0.203 (1.653)	−0.513 (1.856)	−0.321 (1.855)	−0.387 (1.858)
NegM_peak_FY	0.002 (0.006)			0.014* (0.007)
NegM_peak_Q4		0.002 (0.006)			0.016** (0.006)
NegM_peak_Q4Q1			0.004 (0.006)			0.014** (0.007)
CbCr	0.008 (0.013)	0.010 (0.013)	0.007 (0.013)	0.008 (0.015)	0.010 (0.015)	0.011 (0.015)
NegM_peak_FY × CbCr	0.023*** (0.007)			0.011 (0.008)
NegM_peak_Q4 × CbCr		0.021*** (0.006)			0.009 (0.007)
NegM_peak_Q4Q1 × CbCr			0.024*** (0.006)			0.009 (0.007)
Controls	Yes	Yes	Yes	Yes	Yes	Yes
N	1,760	1,760	1,760	1,633	1,633	1,633
R² (overall)	0.13	0.14	0.14	0.15	0.16	0.16
Wald Chi²	149.31***	154.62***	158.12***	147.62***	152.73***	148.48***

Notes:

Standard errors in parentheses. Controls include all the controls used in the baseline model; ***, ** and * indicate significance levels at 1, 5 and 10%, respectively

Source: Authors own creation

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