YAHAYA, Adamu
Department of Business Management
Federal University Dutsin-Ma Katsina State, Nigeria
ayahaya2@fudutsinma.edu.ng
ABDULKADIR, Jamilu
Distance Learning Centre
Ahmadu Bello University, Zaria, Kaduna State, Nigeria
jameelabdulqadir@gmail.com
LAWAL, Amiru Balarabe
Department of Business Administration
Federal University Gusau, Zamfara State, Nigeria.
alawalbalarabe@gmail.com
ABSTRACT
The relevance of corporate governance in influencing every aspect of corporate management including tax
expense reduction cannot be over emphasized. This study examines effect of corporate governance
mechanism on tax avoidance among deposit money banks in Nigeria. The study employed a multiple
regression technique to test the effect of board gender diversity, financial expertise of board members,
frequency of board meeting, board composition and age of corporation on tax avoidance. The study used
a sample of 10 deposit money banks within the period of ten years (2012-2021). The study found significant
positive effect of board gender diversity, financial expertise of board members and board composition on
tax avoidance while frequency of board meeting and age of corporation were found to have insignificant
effects of tax avoidance. The study recommends that since increased cumulative equity ownership by
members of the boards of directors of deposit money banks significantly aligns the interests of owners and
directors in relation to the goal of paying less taxes, owners should institute more share-based bonuses for
executive directors and/ require on-executive directors to take up some minimum number of shares during
their tenures.
Keywords: Board composition, board financial expertise, board gender, board meeting, corporate
governance mechanisms, tax avoidance