The impact of sustainable tax on firm value an applied study in a sample of companies listed on the Iraq Stock Exchange

Abstract

This study aims to measure and evaluate the level of tax sustainability in companies listed on the Iraq Stock Exchange, as well as evaluate and analyze the value of the establishment of companies listed on the market and test the relationship and impact of tax sustainability on the value of the enterprise. In order to achieve the objectives of the study, a main hypothesis was adopted directed to test the relationship between the two variables of the study within the framework of the practical side of the study. As the applied approach based on evaluation and quantitative mathematical analysis was adopted, as the annual financial statements of the companies listed on the Iraq Stock Exchange and the official bulletins of the market were adopted as data sources for the period (2017-2021). The sample of the study was mainly represented in a sample of companies listed on the Iraq Stock Exchange, which amounted to (30) companies, and was selected in light of the sample of companies that do not apply the standards of (IFRSs) and the sample of banks applying the standards of (IFRSs) and the number (11) banks. The study reached a set of results, the most prominent of which is that there is no correlation and significant impact between sustainable tax and the market value of establishments applying and not applying IFRSs. The study also made several recommendations, the most important of which was the need to educate investors through awareness programs that should focus on the positive effects of social responsibility reports and their impact on stock prices and reduce the risk of stock price collapse and its reflection in the value of the enterprise.

Keywords

• Sustainable tax, firm value, Iraq Stock Exchange.