This study examines an adversarial attitude toward tax enforcement disclosed in income tax footnotes, where companies express disagreement with tax authorities or willingness to pursue litigation if issues under audit are unresolved. Specifically, we examine the determinants of an adversarial...

Managers face conflicting incentives when making voluntary tax disclosure decisions. Although voluntary tax disclosures can improve firms' information environments and reduce financial statement users' costs of processing complex tax information, they can also inform tax authorities about...