The Impact of Organizational Culture on Corporate Tax Avoidance

Bibliographic Data

ID21259413
AuthorsHiep Ngoc Luu (0000-0001-8868-9831, VNU University of Economics and Business Hanoi Vietnam), Dung Thuy Thi Nguyen (0000-0002-3545-7233, Academy Of Finance, corresponding author), Dung Doan (0000-0002-2511-2282, University of Birmingham), Dung Duc Doan (University of Birmingham Birmingham UK)
Year2026
Volume35
Issue3
Pages2279-2292
Publication date2026-07-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueBusiness Ethics, the Environment & Responsibility (JOURNAL)
Journal identifiersISSN: 2694-6416 • E-ISSN: 2694-6424
PublisherWiley (PUBLISHER • GB)
DOI10.1111/beer.70034
OpenAlexW4414519893
LanguageEN
References cited69

This paper investigates the impact of different dimensions of organizational culture on corporate tax avoidance. We use textual analysis to quantify the different organizational culture dimensions of firms in conjunction with those proposed in the Competing Values Framework, including Control‐, Collaborate‐, Compete‐, and Create‐oriented cultural dimensions. We find that firms with a Control‐oriented culture that values safety and predictability are less likely to be involved in tax avoidance. By contrast, firms with a Compete‐oriented culture that encourages risk‐taking and aggressive behavior are more likely to avoid paying tax. Smaller firms primarily drive the impact of organizational culture. Our results are robust to a battery of sensitivity analyses. Overall, these results provide novel evidence about the real effects of different dimensions of organizational culture on corporate tax avoidance

Corporate Tax · Hofstede's cultural dimensions theory · Organizational culture · Predictability · Tax avoidance · Corporate Finance and Governance · Corporate Taxation and Avoidance · Taxation and Compliance Studies

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