The Influence of Capital Intensity and Thin Capitalization on Tax Avoidance Moderated by Profitability

Authors

  • Julianti Julianti Faculty of Economics and Business, Universitas Tarumanagara, West Jakarta, DKI Jakarta
  • Herman Ruslim Faculty of Economics and Business, Universitas Tarumanagara, West Jakarta, DKI Jakarta

DOI:

https://doi.org/10.55324/ijoms.v2i10.594

Keywords:

tax avoidance, capital intensity, thin capitalization, profitability

Abstract

The purpose of this research is to examine the effect of capital intensity and thin capitalization on tax avoidance with profitability as a moderating variable. The sample for this study was selected using a purposive sampling method where the data used was 116 data from manufacturing companies in the consumer goods industry sector that were listed on the Indonesia Stock Exchange (IDX) consistently from 2018 to 2021. Research data analysis was assisted with the Econometric Views (EViews) software program. The results of the study show that capital intensity and thin capitalization have a positive effect on tax avoidance, profitability does not moderate the effect of capital intensity on tax avoidance and profitability can weaken the effect of thin capitalization on tax avoidance.

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Published

2023-07-30

Issue

Vol. 2 No. 10 (2023): Indonesian Journal of Multidisciplinary Science

Section

Articles

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Copyright (c) 2023 Julianti Julianti, Herman Ruslim

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