Does Corporate Tax Aggressiveness Influence Audit Pricing?


  • Accepted by Lillian Mills. We gratefully acknowledge Lillian Mills, two anonymous referees, Bipin Ajinkya, Stephen Asare, Andrew Bauer, Allan Blay, Stephen Brown, Monika Causholli, Will Ciconte, Joel Demski, Victoria Dickinson, Michelle Hanlon, David Hay, Ryan Huston, Carlos Jimenez, Steve Kachelmeier, Clive Lennox, Pete Lisowsky, Gary McGill, Sean McGuire, Jeff Payne, Mark Peecher, Brad Pomeroy, Anne Thompson, participants of the 2009 International Conference on Assurance and Governance, the 2009 International Symposium on Audit Research, the 2010 Annual Meeting of the Accounting and Finance Association of Australia and New Zealand (AFAANZ), seminar participants at the University of Illinois at Urbana-Champaign, and workshop participants at Florida State University, Temple University, University of Auckland, University of Florida, University of Kentucky, and HEC Montreal for their thoughtful comments and suggestions. Special thanks to Sean McGuire, Tom Omer, and Dechun Wang for sharing their audit firm expertise data. We also thank Hye Sun Chang, Paul Demere, Jaclyn Miller, Erin O'Neal, Bill Synder, and Shannon Woods for excellent research assistance. This paper won the “Best Paper Award” in auditing at the 2010 Annual Meeting of the AFAANZ.