M.A. Thesis:

Tax avoidance, corporate governance, social responsibility and stock returns

Legitimacy theory states that there is a social contract between companies and communities in which companies operate. Therefore, the behavior of companies, including tax avoidance, which is known as a social cost, can affect the responsibility of companies. The main purpose of this research is to determine the impact of tax avoidance and corporate governance on social responsibility and stock returns in Tehran Stock Exchange. This research was conducted for a period of 5 years from 2016 to 2020. The sample data of the studied companies, after checking the availability of their data, were collected and classified with the help of Excel software and analyzed with the help of Eviuse software. The research results showed; There is a negative relationship between tax avoidance and social responsibility, and this relationship is also significant. One of the examples of social behavior is timely and complete tax payment, so that tax is known as a social cost, it was expected that companies that do more tax avoidance and use legal loopholes to reduce taxes will reduce social responsibility. The results of other hypotheses also showed; There is a positive relationship between family and government ownership and social responsibility, and this relationship is significant. Also, there is a positive relationship between social responsibility and stock returns, and this relationship is also significant.

Keywords: Tax avoidance - corporate governance - social responsibility - stock returns