Empirical Assessment of Female Director Effect on Tax Aggressiveness of Listed Insurance Firms in Nigeria
- January 18, 2020
- Posted by: RSIS
- Categories: Accounting, IJRSI
International Journal of Research and Scientific Innovation (IJRSI) | Volume VII, Issue I, January 2020 | ISSN 2321–2705
Sunday Oseiweh OGBEIDE, Ph.D1, Peter Ego Ayunku, Ph.D2
1Department of Accounting and Finance, Faculty of Social and Management Sciences, Elizade University, Ilara- Mokin, Ondo State, Nigeria
2Faculty of Management Sciences, Niger Delta University, Wilberforce Island, Yenagoa, Bayelsa State, Nigeria
Abstract: – This study empirically examined the effect of female director on tax aggressiveness of listed insurance firms in Nigeria. The main objective of this research was to empirically investigate the effect of female board members on tax aggressiveness, determine the composition and representation of female directors on the board of insurance companies, find out how tax aggressive are listed insurance firms and apply the BLAU (1977) index method to measure female director representation as a departure from conventional approaches specifically in the Nigerian context in the reference period, 2014 to 2018. The population of the study consists of all the quoted insurance firms as at 31st December, 2016. A sample of twenty eight (28) quoted insurance firms was selected and data were collected over the period. Inferential statistic consisting of the General Method of Moment was used for the data analysis. The results obtained reveal that board size is negative and exerts significant impact on tax aggressiveness in insurance firms in Nigeria. Female director is significant and positively related with tax aggressiveness of firms in the insurance sector in Nigeria. Board independence is significant and exerts a positive influence on tax aggressiveness of insurance firms in Nigeria. Firm size exerts negative and non- significant effect on tax aggressiveness of insurance companies in Nigeria. The study therefore recommends that the Federal government has to come up with a policy to respond to the marginalization of female on the insurance firm corporate board in Nigeria. The aim of this policy thrust should be targeted at reducing politics and biasness against women on the corporate boards of listed insurance firms.
Key words: Tax Aggressiveness, BLAU Index, Board Size, Female Director, Firm Size.
I. INTRODUCTION
Female directors over time appear to be over marginalized and grossly under represented on the board of listed firms particularly in the insurance sector in developing countries like Nigeria. This is despite the fact majority of them are attentive to details in their duties, have the educational qualifications, professional trainings and stable emotional status (Ogbeide, 2018).
