The Impact of Intangible Assets on Tax Avoidance Prevention of Medical and Health Companies in China

Abstract

        Since China’s modern tax reform started late, Chinese scholars gradually began to study the impact of intangible assets on corporate tax avoidance prevention around 2000. However, the correlation research on the impact of China’s intangible assets on corporate tax avoidance prevention is still in the primary stage. Since the global public health emergency, Chinese healthcare enterprises have achieved rapid development and become the fastest growing industry. This archive study uses Refinitive Eikon database to study Chinese medicine and health listed companies in Shanghai and Shenzhen during 2017 - 2021 as samples. Then Excel software was used for statistical analysis of relevant data. The empirical results show that intangible assets have a significantly positive impact on the tax avoidance, that is, when other variables remain unchanged, every increment of 1 unit of intangible assets will increase the tax avoidance of 0.0181 units on average. Therefore, it provides no evidence that intangible foster corporate tax avoidance as (Wu et al., 2022) proposed. further research should further explore appropriate model on detecting tax avoidance, estimation technique, and sophisticated analysis on detecting the relation among the variables.