In the current environment of increasing exposure to liability in tax practice, it is particularly important to understand the judgment and decision processes of tax practitioners and the relation of those processes to features of the tax setting. One way that tax practitioners reduce their...

Purpose The purpose of this paper is to examine investors’ propensity to litigate when harmful events occur subsequent to accounting choices. Consistent with Culpable Control Theory, the authors find that investors are more likely to pursue litigation against management when managers are...