How legal scholars facilitate tax avoidance: Case study on the power of tax consultancy firms

Abstract

AbstractSocial scientists have neglected the ways in which the consultancy assignments of legal scholars mediate private interests, even though their opinions provide important guidance in legal proceedings. Through a case study from Finland, we document a process where private tax advisory firms utilize their access to academic forums to defend their clients' interests. With further evidence on related dependencies, we trace a twofold process that amplifies the voice of tax advisors and suppresses public interest‐related concerns. By achieving positions of trust in the academia, tax consultancy firms gain important gatekeeper roles that facilitate corporate‐friendly research and subdue critical arguments. The findings challenge the conventional understanding of the dynamics of knowledge production and call for a greater attention to the pitfalls of the marketization of academic legal advice and scholarship. The national‐level interpretative power of major tax advisory companies is also an important building block for international network power.