IDEAS home Printed from https://ideas.repec.org/h/spr/eurchp/978-3-032-10967-5_9.html

Tax Management in Portuguese Listed Companies: A Study of the Evolution of the Effective Tax Rate

In: Eurasian Business and Economics Perspectives

Author

Listed:
  • José António Madureira

    (University of Aveiro, Higher Institute of Accounting and Administration)

  • Carla Carvalho

    (University of Aveiro, GOVCOPP – Research Unit on Governance, Competitiveness and Public Policies, Higher Institute of Accounting and Administration)

Abstract

This study aims to analyze the evolution of tax management in companies listed on Euronext Lisbon from 2017 to 2021 and to compare data on the national average effective tax rate (ETR) with the average ETR of the companies in the sample. The data was collected in the SABI database and manually through content analysis of the companies’ financial statements. A quantitative methodology was adopted in data processing, and an ETR variable was constructed to measure tax management: the lower the ETR, the greater the tax management. The results reveal significant variations in ETR values among companies and within observations about the same company. On average, and in the period under analysis, listed companies in the sample support an ETR of around 30%, much higher than the average ETR for all Portuguese companies (around 21%). This disparity may be due to the state surcharge for taxable incomes exceeding 1.5 million euros. However, some observations present very low ETR values; in some cases, they are close to zero. There is heterogeneity in the sample since there is one observation with an ETR of 0.3% and another with an ETR of 174.6%. Society perceives that listed companies pay less taxes in relative terms; that is, they have, on average, a lower ETR than other companies. Thus, the results of this study make significant contributions to society and the business world (shareholders, managers, auditors, accountants, and consultants), as well as to regulators/legislators who deal with tax issues.

Suggested Citation

  • José António Madureira & Carla Carvalho, 2026. "Tax Management in Portuguese Listed Companies: A Study of the Evolution of the Effective Tax Rate," Eurasian Studies in Business and Economics, in: Mehmet Huseyin Bilgin & Hakan Danis & Ender Demir & Sofia Vale (ed.), Eurasian Business and Economics Perspectives, pages 165-185, Springer.
    • Handle: RePEc:spr:eurchp:978-3-032-10967-5_9
    DOI: 10.1007/978-3-032-10967-5_9
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:eurchp:978-3-032-10967-5_9. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.