Investigating the Effect of Tunneling Incentive, Intangible Assets and Profitability on Transfer Pricing

Subject Areas : Financial engineering

Ali Khoshnood ¹ , Abbasali Haghparast ² , Reza sotudeh ³ , Habib Piri ⁴

1 - PhD student, Department of Accounting , Zahedan branch, Islamic Azad University, Zahedan, Iran
2 - Assistant Professor, Department of Accounting, Zahedan Branch, Islamic Azad University, Zahedan, Iran
3 - Assistant Professor, Department of Accounting, Zahedan Branch, Islamic Azad University, Zahedan, Iran
4 - Assistant Professor, Department of Accounting, Zahedan Branch, Islamic Azad university, Zahedan, Iran

Received: 2024-07-27 Accepted : 2024-09-16 Published : 2024-09-22

Keywords: transfer pricing, tunneling motivation, intangible assets, profitability,

Abstract :

The current research was conducted with the aim of investigating the effect of tunneling Incentive, intangible assets and profitability on transfer pricing. The statistical population of this research is the companies listed to the stock exchange, and sampling among these companies was done based on the systematic elimination method. According to the conditions considered for the sample, the sample size is equal to 84 companies. The research period is between 2016-2023 and this period includes all companies that were listed to the stock exchange before 2016 and were present until the end of 2022. The tests were conducted using Eviews 10 software and Stata 14 software based on the panel data statistical technique. The results based on the generalized regression model (GLS) indicate that the variable of tunneling incentive has an effect on transfer pricing, and on the other hand, the variable of intangible assets also has an effect on transfer pricing. Finally, the profitability variable has an effect on transfer pricing so that the hypotheses raised in this regard are confirmed.

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