Understanding Tax Avoidance in the Indonesian Mining Sector: The Impact of Financial Distress and Capital Intensity

Ulfayana; Yossi Diantimala; Fifi Yusmita

doi:10.59890/ijaeam.v3i3.23

Authors

Ulfayana Syiah Kuala
Yossi Diantimala Syiah Kuala
Fifi Yusmita Syiah Kuala

DOI:

https://doi.org/10.59890/ijaeam.v3i3.23

Keywords:

Tax Avoidance, Financial Distress, Capital Intensity

Abstract

This study aims to examine the effect of Financial Distress and Capital Intensity, on tax avoidance in mining companies listed on the Indonesia Stock Exchange during the period 2020-2023.The sample in this study consists of 53 companies. The sampling technique used is purposive sampling, which involves selecting samples based on specific criteria. The research approach used in this study is quantitative. The data analysis technique used is multiple line linear regression analysis, which aims to explain the relationship between independent variables and the dependent variable, assisted by the Eviews 12 software. The regression results from the partial test indicate that Financial Distress and Capital Intensity do not have an effect on tax avoidance practices. This study is expected to provide recommendations to the government or the Directorate General of Taxes and to motivate companies to engage in tax avoidance practices that comply with tax regulations

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