Effect of Tax Deferred Charges, Leverage and Size of Management Company Earnings (Empirical Study at Company Jakarta Islamic Index (JII) Listed in Indonesia Stock Exchange Period 2012-2015)

Abstract

This research aims to know the influence of deferred tax expense, leverage and size of the company profit management in a proxy with discretionary accruals. The object of this research firm The Jakarta Islamic Index (JII) listed on the Indonesia Stock Exchange for the period 2012-2015. Samples in this study as many as 17 companies. The sampling is done by using purposive sampling method. As for the statistical analysis method used is multiple linear regression. The results of this study indicate that the deferred tax a significant effect on earnings management, while the leverage variable has no significant effect on earnings management. And simultaneously deferred tax expense, leverage and firm size influence earnings management.

Keywords: deferred tax expense, leverage, firm size, earnings management