The moderating role of corporate tax risks on the market valuation of tax savings: a new empirical evidence in the Indonesian context

Eko Suwardi, Mahfud Sholihin, Choirunnisa Arifa and Arfah Habib Saragih

Cogent Business & Management, 2024, vol. 11, issue 1, 2389254

Abstract: The primary aim of this study is to examine the moderating effect of corporate tax risks on the relationship between tax savings and firm value. A quantitative approach is utilized in this study. A total of 1813 firm-year observations from companies listed on the Indonesia Stock Exchange (IDX) from 2012 to 2017 comprise the sample. This study concludes that there is no moderating effect of tax risks on the relationship between tax savings and company value. This study emphasizes the importance of effective tax risk management for corporations in order to prevent investors from decreasing their evaluation of the organization’s tax-saving endeavors. Further discussion will follow regarding the anticipated practical implications of this study for investors, tax authorities, and company management.

Date: 2024
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/23311975.2024.2389254 (text/html)
Access to full text is restricted to subscribers.

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:taf:oabmxx:v:11:y:2024:i:1:p:2389254

Ordering information: This journal article can be ordered from
http://cogentoa.tandfonline.com/journal/OABM20

DOI: 10.1080/23311975.2024.2389254

Access Statistics for this article

Cogent Business & Management is currently edited by Len Tiu Wright and Tahir Nisar

More articles in Cogent Business & Management from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().