THE INFLUENCE OF OFFSHORE LINKS ON FINANCIAL INDICATORS. EMPIRICAL STUDY ON COMPANIES LISTED ON THE BUCHAREST STOCK EXCHANGE

Tax havens have been and continue to be the main way through which companies elaborate tax optimization strategies in order to reduce their tax expenses. In this respect, companies are constantly seeking tax benefits and asset protection opportunities in offshore jurisdictions. This paper investigates the financial characteristics of the Romanian quoted companies with links to offshore jurisdictions by comparison with the companies without such connections. We involved quantitative variables in the study, which reflect the financial characteristics of the listed companies, such as: return on equity ratio, return on assets ratio, gross margin, indebtedness (financial leverage), turnover taxation rate, effective tax rate, intangible assets rate, tangible assets rate and revenue per employee. To analyse the data, we have used, complementary to the descriptive methods, the correlation analysis, the multiple regression analysis and the factorial multiple correspondences analysis. The analysis of the financial profile of the Romanian listed companies depending on the existence of connections to tax havens has emphasized a series of differences regarding their financial performance, indebtedness, structure of the assets and their tax burden.