Managerial and Financial Capabilities Become Determining Factors of Tax Avoidance Practice in Indonesia

Alamanda Rizka Hasanah and Ni Putu Eka Widiastuti
Additional contact information
Alamanda Rizka Hasanah: Department of Economic and Business, Universitas Pembangunan Nasional Veteran Jakarta, Jakarta, Indonesia
Ni Putu Eka Widiastuti: Department of Economic and Business, Universitas Pembangunan Nasional Veteran Jakarta, Jakarta, Indonesia

International Journal of Finance & Banking Studies, 2022, vol. 11, issue 1, 207-219

Abstract: Differences in interests related to taxation between the government and companies are still a current issue. The purpose of this study is to examine the impact of managerial and financial competencies on tax avoidance in Indonesian manufacturing companies. 149 financial statements of companies listed on the Indonesia Stock Exchange were used to compile the data. Panel data regression with a random-effects model was used to test and analyze the data. The findings revealed that financial challenges and managerial ability had a detrimental impact on tax avoidance, but there was no influence between the audit committee on tax avoidance. As for the control variable, there is a positive influence between profitability on tax avoidance, and there is no influence between leverage on tax avoidance.

Keywords: Financial capability; Managerial Ability; Tax avoidance (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.ssbfnet.com/ojs/index.php/ijfbs/article/view/1702/1230 (application/pdf)
https://www.ssbfnet.com/ojs/index.php/ijfbs/article/view/1702 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:rbs:ijfbss:v:11:y:2022:i:1:p:207-219

Access Statistics for this article

International Journal of Finance & Banking Studies is currently edited by Prof.Dr.Hasan Dincer

More articles in International Journal of Finance & Banking Studies from Center for the Strategic Studies in Business and Finance IJFBS Editorial Office, IMU, School of Business. Contact information at EDIRC.
Bibliographic data for series maintained by Hasan Dincer ().