Data-driven tax governance: the digital RMB and corporate tax avoidance
研究数字人民币试点对企业避税的影响，发现其通过治理效应和威慑效应显著抑制避税，增加税收贡献，对信息披露差、国企和东部企业效果更明显。
Purpose Digital currency has become an important topic of global concern, and the digital RMB, as a pilot case of China's legal tender digital currency reform, provides a valuable sample for examining its micro-level tax governance effects. Design/methodology/approach Using a sample of China's A-share listed companies from 2016 to 2022, this study empirically investigates the micro-level tax avoidance governance effects of the digital RMB through a multi-period difference-in-differences (DID) approach. Findings The results reveal that the digital RMB significantly suppresses corporate tax avoidance and increases corporate tax contributions. The digital RMB mitigates tax avoidance through two main channels: the “governance effect,” which reduces agency costs and the “deterrence effect,” which raises corporate operational risk exposure. The tax governance impact of the digital RMB is more prominent in samples with lower information disclosure levels, in state-owned enterprises and in enterprises located in eastern regions. Originality/value This article clarifies the relationship between the digital RMB and corporate tax avoidance, provides governments with policy insights for improving the digital RMB framework and offers a certain perspective for discussions on global digital currency reform.