Corporate Governance, Profitability, And Liquidity Against Tax Avoidance in Mining Companies Registered On The Indonesia Stock Exchange In 2012-2016

Abstract

This research was motivated by the big news of tax evasion cases in the world including Indonesia, of course, namely Panama Papers and Paradise Papers. Many mining companies in Indonesia avoid taxes. Based on these tax avoidance issues, this study examines using mining companies listed on the Indonesia Stock Exchange (IDX) as a sample, because mining companies in Indonesia have a high enough potential to practice tax avoidance. Company data were sampled in this study from 2012-2016. This study seeks to find empirical evidence regarding the effect of corporate governance projected in the number of audit committees, the composition of independent commissioners and audit quality also by adding variable profitability and liquidity.

Keywords: corporate governance, profitability, liquidity, tax avoidance.

DOI: 10.7176/RJFA/10-11-08

Publication date:June 30^th 2019