Exploring the Relationship between Clarity of ESG Information Disclosure and Corporate Tax Compliance Behavior

Yueying He

doi:10.6981/FEM.202501_6(1).0006

Authors

Yueying He

DOI:

https://doi.org/10.6981/FEM.202501_6(1).0006

Keywords:

Clarity of ESG Information Disclosure; Corporate Tax Compliance Behavior; Transparency; Internal and External Oversight; Information Asymmetry; Virtuous Cycle.

Abstract

This paper delves into the impact mechanism of the clarity of ESG (Environmental, Social, and Governance) information disclosure on corporate tax compliance behavior. In the context of the increasingly prevalent concept of sustainable development, ESG information disclosure has become an important window for enterprises to demonstrate their social responsibility and transparency. The article first defines the concept of clarity in ESG information disclosure and analyzes its potential impact on corporate reputation, investor trust, and the regulatory environment. Subsequently, it elaborates on the basic characteristics, assessment criteria, and influencing factors of corporate tax compliance behavior. Through theoretical reasoning, this paper constructs a model of the intrinsic link between the clarity of ESG information disclosure and corporate tax compliance behavior, pointing out that clear ESG information disclosure not only helps enhance corporate transparency but also promotes corporate tax compliance behavior through mechanisms such as strengthening internal and external oversight, optimizing decision-making processes, reducing information asymmetry, and shaping a positive corporate image. Meanwhile, the enhancement of tax compliance behavior can, in turn, improve the accuracy and completeness of ESG information disclosure, forming a positive interaction and virtuous cycle between the two.

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