Firm Specific and Tax Avoidance before and during the Covid-19 Pandemic

Abstract

This study aims to analyze the Influence of Firm Specific on Tax Avoidance in the Manufacturing Industry Comparative Study before and during the Covid-19 Pandemic. In this study, firm specific proxied by liquidity (CR), profitability (ROA) and leverage (DER). The sample in this study as many as 193 companies obtained by using purposive sampling method. This study is a comparative descriptive study with a quantitative approach and uses secondary data collected from the Indonesia Stock Exchange for the period 2019 and 2020. Furthermore, these ratios were tested differently using a paired sample t test with the help of SPSS 25. The results showed that there was no difference. which is significant from the firm specific ratio which includes CR, ROA, and also CETR in manufacturing companies. Meanwhile, DER in manufacturing companies experienced significant differences between before and during the Covid-19 pandemic. This showed the impact of the COVID-19 pandemic on Leverage.

Keywords: firm specific, liquidity, profitability, leverage, tax avoidance

DOI: 10.7176/RJFA/14-8-02

Publication date: April 30^th 2023