Manajemen Laba, Leverage, Pertumbuhan Penjualan, Penghindaran Pajak: Peran Moderasi Komisaris Independen

Abstract

The research aims to empirically examine the effect of earnings management, leverage, and sales growth on tax evasion. In addition, this study also examines the moderating role of independent commissioners in the relationship between the independent variables and the dependent variable. This study uses data in the form of financial statements of the consumer goods sector listed on the IDX for the 2018-2021 period. The total sample used in this study was 180 sample data selected by purposive sampling method. Hypothesis testing was carried out using multiple linear regression analysis with panel data. The test results show that earnings management and leverage have no effect on tax evasion, while sales growth has a negative effect on tax evasion. The results of the study concluded that the independent commissioner has no moderating role in the effect of earnings management on tax evasion and the effect of leverage on tax evasion. However, independent commissioners can strengthen the negative effect of sales growth on tax evasion.
 Keywords: Debt Policy; Earnings Quality; Tax Planning; Sales Growth; Corporate Governance

The Effects of Earning Management and Environmental, Social, Governance (ESG) on Tax Avoidance with Leverage as A Moderating Variable

“…The Effects of Earning Management on Tax Avoidance Table 3 shows that the earning management variable does not significantly affect ETR with a P>t value of 0.305, thus H1 is rejected. This result is in line with the research by Alfarizi et al (2021), Emanuel et al (2023), andWulandari et al (2023) which state that earning management does not affect tax avoidance. This is caused by various corporate management motifs in committing the act of earning management, such as the attempt to represent a better financial performance, obtaining additional debt, raising bonus, and avoiding tax.…”

“…Up to this point, there has been no research discussing whether or not leverage can moderate the practice of tax avoidance which is influenced by earning management and ESG. In prior research, Emanuel et al (2023), dan Ernawati et al (2021) found that leverage had a negative and significant impact on tax avoidance. A differing finding originates from a research conducted by Yoshida (2022) who stated that leverage had no impact on tax avoidance because of the fiscal limitations in interest expense.…”

“…Meanwhile, the research conducted by Antonius & Tampubolon (2019), Emanuel et al (2023), Wulandari et al (2023), andAlfarizi et al (2021) show that tax avoidance does not significantly affect earning management, because within a company exist departments, each with differing management, causing the managements' tendency to prioritize earning management because of their own division and not because of tax avoidance. H1: Earning Management Positively Affects Tax Avoidance.…”

“…Falbo & Firmansyah (2021) proved that earning management had a positive effect on tax avoidance. Emanuel et al (2023), Wulandari et al (2023), and Alfarizi et al (2021) stated that earning management had a negative effect on tax avoidance. This is due to the existence of other goals desired by companies aside from merely committing tax avoidance.…”

“…Leverage also does not moderate the negative effect of ESG on tax avoidance with a P>t value of 0.905, thus H4 is rejected. Emanuel et al (2023), Manuel et al (2022), andPuspitasari et al (2021) stated that go-public companies in Indonesia avoid owing a large amount of debt and choose to utilize flaws in tax regulations to commit tax avoidance rather than utilizing interest expense. Furthermore, findings from Lee et al (2021) state that go-public companies which participate in ESG show that the company wishes to get short-term profit by creating a positive image and unwilling to do acts of tax avoidance because it can create a negative image in the society.…”