The Effect of Liquidity and Capital Intensity on Tax Aggressive through Intellectual Capital

Abstract

Taxes are the main source of income for a country which is used for development, but in recent years the realization of tax revenues in Indonesia has still been far below the target. One indication is that there are aggressive tax practices to avoid paying taxes by several companies. Tax aggressiveness is an action taken by taxpayers to aggressively reduce the amount of tax they have to pay by taking advantage of loopholes in tax law, whether legal or not. This research aims to understand the impact of liquidity and capital intensity on aggressiveness in paying taxes through intellectual capital as a mediating variable. The population was taken from company entities listed on the LQ45 Index on the IDX. The sampling method used was a purposive sampling method so that 45 companies were obtained for 3 years (2020-2022). The research results found that liquidity and intellectual capital did not have a significant effect on tax aggressiveness. Capital intensity has a significant effect on tax aggressiveness. Liquidity and capital intensity have a significant effect on intellectual capital. However, liquidity and capital intensity do not have a significant effect on tax aggressiveness through intellectual capital.