Factors Influencing the Tax Payment in Developing Countries: A Comprehensive Study from the Listed Companies in Bangladesh

Corporate taxes are an imperative source of revenue generation for the Bangladesh government. The research has been commenced with the prime intention of identifying the factors that has an impact on corporate tax payment in eleven industries consisting of ninety-four (94) companies in Bangladesh. This is a quantitative work based on a structure used on prior literature and studies crucial for the examination of corporate tax payment determinants that is cash flow from operations. And also the study scrutinized a list of research hypothesis on the basis of the framework and quantitative data. A three year data has been accumulated from the annual reports of the companies and ensured a sample of 280. The systematic random sampling method has been applied for the selection of the following industries Textile, Cement, Engineering, Ceramics, Fuel & Power, Tannery, Pharmaceutical, Food, Jute, Miscellaneous and Paper to confine the study towards the whole country. The Pearson Correlation and Multiple Regression analysis has been applied to understand the correlation of the key factors affecting corporate tax payments. Cash flow from operations has been found to be responsible for the variations in corporate tax collection. It endeavors to augment the literature by including illustrative image and a perception of corporate tax payment behavior in developing countries.  This is done to enlighten   policy tax administrators about the variables affecting corporate tax revenue and so steps can be taken to enhance tax revenues. Keywords: Current tax payment, Audit fees, Leverage, Cash flow from Operation

Impacts of board characteristics on corporate performance : evidence from Bangladeshi listed companies

The purpose of this study is to investigate the impacts of board characteristics on corporate performance. To conduct this study one hundred and one Bangladeshi listed companies are taken into consideration. Simultaneous multiple regression analysis has been used to address the relationship between the proxy variables of board characteristics and the proxy variable of corporate performance. The study revealed that out of five proxy variables of board characteristics, board member’s ownership and foreign member on board has significant positive relationship on corporate performance whereas the other three proxy variables of board characteristics - board size, percentage of independent director on board and percentage of women on board has no statistical significant association along with corporate performances of the selected companies. Implications: The findings of the study portrays the scenario of board characteristics and its influence on corporate performance which certainly will pave the way to encourage the corporate people to take life-sustaining decisions regarding board members. These results also provide immense opportunity to the future researchers regarding to the exploration of the association between various attributes of board characteristics and levels of corporate performance.peer-reviewe

Multi-facet Performance Measurement System for Textile Industries: A Comprehensive Study from Bangladesh

The nature of performance measurement systems of the organizations become changed in the last two decades. In recent days, it becomes obvious that most of the businesses are looking for financial as well as non-financial measurement matrixes. In this study, we have tried to investigate the importance of multi-facet performance measurement system for the textile industries of Bangladesh. Moreover, we have found that it becomes a burning issue for the textile companies to adopt multi-facet performance measurement systems. In this research paper, we have tried to use a modified balanced scorecard which was initially developed by Kaplan and Norton during 1992. We proposed a five dimensional scorecard for the textile sector of Bangladesh which will help the textile sectors to provide a framework to initiate the multi-facet performance measurement system. In our framework, we have tried to identify most important factors under each aspects of the proposed multi-facet performance measurement system. Keywords: Multi-facet Performance Measurement System, Textile Sectors, Balanced Scorecard, Non-market perspective

Multi-facet Performance Measurement System for Textile Industries: A Comprehensive Study from Bangladesh

The nature of performance measurement systems of the organizations become changed in the last two decades. In recent days, it becomes obvious that most of the businesses are looking for financial as well as non-financial measurement matrixes. In this study, we have tried to investigate the importance of multi-facet performance measurement system for the textile industries of Bangladesh. Moreover, we have found that it becomes a burning issue for the textile companies to adopt multi-facet performance measurement systems. In this research paper, we have tried to use a modified balanced scorecard which was initially developed by Kaplan and Norton during 1992. We proposed a five dimensional scorecard for the textile sector of Bangladesh which will help the textile sectors to provide a framework to initiate the multi-facet performance measurement system. In our framework, we have tried to identify most important factors under each aspects of the proposed multi-facet performance measurement system. Keywords: Multi-facet Performance Measurement System, Textile Sectors, Balanced Scorecard , Non-market perspective

FINANCIAL PERFORMANCE OF ENGINEERING COMPANIES IN AN EMERGING ECONOMY: BEFORE AND AFTER COVID-19

The COVID-19 pandemic had a significant impact on numerous companies in emerging economies, including the engineering sector, due to factors such as lockdown restrictions and disruptions in the supply chain. Moreover, many companies within the engineering sector witnessed a decline in their financial performance as a result of the pandemic. This study is conducted to assess the influence of COVID-19 on the financial performance of the engineering sector in emerging country - Bangladesh. The study considers the secondary data from the listed companies in Dhaka Stock Exchange, focusing on engineering companies. This study utilized a quantitative research methodology employing a thematic approach. To evaluate financial performance, changes in net profit, changes in revenue growth and three relative performance ratios - liquidity ratio, profitability ratio and solvency ratio are used to compare the corporate performance before and after the COVID-19 pandemic in Bangladesh. It is found that the financial performances in the listed companies in Bangladesh are not facing as much obstacle as it is observed in developed economy. This result implies that the impact of covid-19 is sharply visible in the economy but it is not as much risky as the developed economy. This result will help the corporate people in the developing economy to adopt necessary initiatives to cope up the upcoming natural issues

Voluntary reporting, sustainable reporting and transition economy

This concept paper aims at exploring the interrelationship among the corporate voluntary reporting, the corporate sustainable reporting and the transition economy from the literatures and frameworks. At this juncture, transition economy refers the economy especially, the transformation of least developing economy to the developing economy as per the criteria of United Nations. Thus, the context of Bangladesh has been used as a ground for the study. The study explores the affiliation among corporate voluntary reporting, corporate sustainable reporting and transition economy from their respective literature and frameworks. From the literature of the corporate voluntary reporting, various dimensions of corporate disclosures have been considered, while the dimensions of sustainability reporting have been considered as per the consolidated set of global reporting index, published by Global Sustainability Standards Boards. In addition, components of transition economy have been considered on the basis of the guideline of the United Nations Economic and Social Council. The similitudes of these three concepts and their consequences are determined on the basis of the literature and frameworks. It is found that the core concepts of corporate voluntary reporting, corporate sustainable reporting and the transition economy are similar, and they are intermingled to each other. We have found that the dimensions of corporate voluntary reporting are the initiation of sustainability reporting that leads a transition economy to gain its status of being a developing economy. The findings of the study imply that the transition economy like Bangladesh has to put more focus on corporate engagement in transforming its economy to the developing economy. As the developing economy is based on trade rather than aid, the government of the country should design their corporate strategies and policies in such a way that leads the country to have a sustainable development. In addition, the findings may also encourage the corporate people to disclose more information regarding sustainability issues. Moreover, the findings may assist the United Nation to consider and reconsider their criteria of graduating any country from one level of economy to another. Finally, the findings can also open the avenue to the academicians to explore the extent of corporate reporting on transition economy.peer-reviewe

Ownership structure and corporate voluntary disclosures in transition economy

The study aims to investigate the impact of ownership structure on corporate voluntary disclosure in the listed companies of Bangladesh. While many studies on the impact of ownership structure on voluntary disclosure have looked at developed and developing countries, few studies have been carried out in a transition economy. Using a three-step relative voluntary disclosure index, the study applies a multivariate analysis on the cross-sectional data for the year 2018. The findings indicate that the quality of voluntary disclosure in transition economy is still below average but has improved compared to findings from the previous literature. We found a significant inverse relationship between corporate voluntary disclosure and public ownership, while no significant relationships between voluntary disclosure and institutional ownership, director ownership, and foreign ownership have been found. The empirical findings of the study will provide evidence to promote the voluntary disclosure characterized by the ownership structures. The findings have important implications for both local and foreign investors as they make their investment decisions especially related to a transition economy. Besides, the findings will assist, not only the corporate executives in rearranging their reporting paradigm, but also the regulators and governments in similar transition economy in adopting and formulating their corporate policies and strategies

MONEY LAUNDERING FRAMEWORK FOR PROFESSIONAL ACCOUNTANTS: POST COVID-19

Background and Purpose: The Covid-19 pandemic has sparked global challenges, economic disruption, and an increase in related crimes, such as scams, fraud, and cybercrime. It has also changed the routines of individuals, businesses, and governments in combating financial crimes, especially professional accountants. As front-liners in the anti-money laundering (AML) regime, professional accountants play a vital role in combating financial crime, including money laundering activities that have risen during the pandemic. However, limited study has investigated the money laundering reporting framework for the professional accountants. Hence, this study aims to investigate the money laundering framework for professional accountants that suits the post-pandemic period.   Methodology: This study conducted a content analysis, focussing on the current red flags for money laundering activities specifically for the professional accountants mentioned in prior literature and publicly available reports such as Financial Action Task Force (FATF), ICAEW and ACCA Global. Since this study focuses on the money laundering framework for the professional accountants, this study also referred to the MIA Competency Framework that highlights the importance of professional scepticism and professional judgement.   Findings: Findings showed that professional accountants must exercise high professional scepticism and judgement when dealing with money laundering risk indicators related to related party transactions, beneficial ownership and e-commerce activities. This is to provide quality reporting to the authorities and to proceed with money laundering investigations.   Contributions: This study will contribute to the regulators and professional accountant by proposing a money laundering framework for the professional accountants that would assist them in fulfilling their role as money laundering reporting entity.   Keywords: Money laundering, professional accountants, professional scepticism, professional judgment, Covid-19 endemic.   Cite as: Zolkaflil, S., Syed Mustapha Nazri, S. N. F., Mohd Razali, F., Ahmad Tarmizi, M., & Masum, M. H. (2023). Money laundering framework for professional accountants: Post Covid-19. Journal of Nusantara Studies, 8(TI), 235-256. http://dx.doi.org/10.24200/jonus.vol8issTIpp235-25

Determinants of corporate voluntary disclosure in a transition economy

Corporate voluntary disclosure becomes a burning issue in the literature of accounting throughout the last two decades. The study aims to explore the most crucial determinants that influence corporate voluntary disclosure in a transition economy. A cross-sectional study based on the pharmaceutical and chemical companies listed in the Dhaka Stock Exchange is conducted to reconnoiter the crucial determinants affecting the voluntary disclosure. Based on the agency theory, stakeholder theory, and previous literature, the determinants are selected. An unweighted disclosure index is used to measure the extent of voluntary disclosure; after that, a multivariate analysis is steered to reconnoiter the key determinants of voluntary disclosure. It is found that firm leverage and firm liquidity are the key determinants that significantly influence the corporate voluntary disclosure in a transition economy. In contrast, no significant positive association is found between voluntary disclosure and board size. In additon, it is also found that market category significantly influences voluntary disclosure with an inverse direction. This study has important implications for both the corporate people and the regulatory bodies of the transition economy. The study also helps various stakeholders of the transition economy – Bangladesh, in designing their strategies regarding the most significant determinants of voluntary disclosure