The importance of the internal information environment for tax avoidance in the companies listed in Tehran Stock Exchange

In this study, the effect of internal information environment have been studied on tax avoidance in the companies listed in Tehran Stock Exchange. The Indicators used to measure avoid paying tax are the book effective tax rate, the cash effective tax rate and long-run cash effective tax rate. The sample includes 122 companies listed in Tehran Stock Exchange for 87 to 93. The results showed that there is no significant relationship between earnings announcement speed and the three proxies used to avoid paying taxes. On the other hand, the relationship between management forecast accuracy and avoid paying taxes was positive, this positive relationship indicates that the low profit forecast accuracy by managers reduce tax avoidance activity and managers can invest in information systems companies under their management to improve the quality of its internal information, because high internal information quality allow the firm to find more long-term tax avoidance opportunities with recurring and sustained benefits rather than pursuing risky one-time opportunities.