Next Article in Journal
The Impact of an Environmental Way of Customer’s Thinking on a Range of Choice from Transport Routes in Maritime Transport
Next Article in Special Issue
Corporate Social Responsibility, Sustainability, Sustainable Development and Corporate Sustainability: What Is the Difference, and Does It Matter?
Previous Article in Journal
Environmental Sustainability and Economic Growth in Greenland: Testing the Environmental Kuznets Curve
Article

The Impact of the Amendment of Taiwan’s Certified Public Accountant Act in 2007 on Large Accounting Firms

1
Department of Accounting, National Yunlin University of Science and Technology, Yunlin 64002, Taiwan
2
Department of International Business, Tamkang University, New Taipei 251301, Taiwan
*
Author to whom correspondence should be addressed.
Academic Editor: Benedict Sheehy
Sustainability 2021, 13(3), 1229; https://doi.org/10.3390/su13031229
Received: 19 November 2020 / Revised: 9 January 2021 / Accepted: 11 January 2021 / Published: 25 January 2021
(This article belongs to the Special Issue Sustainable Business, Corporate Social Responsibility and Law)
Taiwan’s Financial Supervisory Commission of the Executive Yuan promulgated the fully amended Certified Public Accountant Act in 2007, which directly led to significant changes in accounting law. From the perspective of the economic theory of law, this study investigates the amendment of the Certified Public Accountant Act resulting in an increase or decrease in the overall revenue and different revenue shares of accounting firms, and puts forward measures that should be taken by accounting firms and stakeholders. We focus on large accounting firms and divide the sample period into before and after 2008. This study uses the translog revenue function and revenue share functions of the public accounting industry, and based on the 1989–2017 Survey Report of Audit Firms in Taiwan, and we find that the amendment of the Certified Public Accountant Act has had a positive effect on overall revenue, increasing overall revenue and the overall management advisory services shares, and in reducing the overall accounting and auditing shares and tax services shares of large accounting firms. Additional analyses provide regulators with public policy implications and provide accounting firms with managerial information. View Full-Text
Keywords: law; accounting firm; certified public accountant act; revenue law; accounting firm; certified public accountant act; revenue
MDPI and ACS Style

Yang, C.-C.; Chen, J.; Yang, W.-C. The Impact of the Amendment of Taiwan’s Certified Public Accountant Act in 2007 on Large Accounting Firms. Sustainability 2021, 13, 1229. https://doi.org/10.3390/su13031229

AMA Style

Yang C-C, Chen J, Yang W-C. The Impact of the Amendment of Taiwan’s Certified Public Accountant Act in 2007 on Large Accounting Firms. Sustainability. 2021; 13(3):1229. https://doi.org/10.3390/su13031229

Chicago/Turabian Style

Yang, Chung-Cheng, Jianxiong Chen, and Wen-Chi Yang. 2021. "The Impact of the Amendment of Taiwan’s Certified Public Accountant Act in 2007 on Large Accounting Firms" Sustainability 13, no. 3: 1229. https://doi.org/10.3390/su13031229

Find Other Styles
Note that from the first issue of 2016, MDPI journals use article numbers instead of page numbers. See further details here.

Article Access Map by Country/Region

1
Back to TopTop