Institutional Monitoring as a Moderator: Examining Its Impact on Tax Avoidance Determinants in Indonesia

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Autore principale: Syafira Ulya Firza
Natura: Recurso digital
Lingua:Antico inglese
Pubblicazione: Zenodo 2025
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author Syafira Ulya Firza
author_facet Syafira Ulya Firza
contents <p>This study investigates the impact of corporate liquidity and capital structure on tax avoidance, and the moderating role of institutional ownership, within Indonesian infrastructure firms. It addresses literature gaps concerning the precise interplay among these financial and governance variables in this sector. The primary aim is to empirically assess how liquidity, capital structure, and institutional ownership (including its moderating effect) collectively influence tax avoidance. Employing a quantitative descriptive methodology, secondary data from Indonesian infrastructure firms' financial statements (2021-2024) listed on the Indonesia Stock Exchange were utilized. Analysis was performed using SPSS software with the Absolute Difference Moderation technique. Findings reveal a positive relationship between both liquidity and institutional ownership with tax avoidance. Furthermore, institutional ownership was found to reinforce liquidity's impact on tax avoidance. Practical implications are significant for corporate management in enhancing liquidity and capital structure strategies, for regulatory bodies in crafting robust fiscal policies, and for investors in evaluating associated risks and opportunities.</p>
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spellingShingle Institutional Monitoring as a Moderator: Examining Its Impact on Tax Avoidance Determinants in Indonesia
Syafira Ulya Firza
Capital Structure; Infrastructure; Institutional Ownership; Liquidity; Tax Avoidance
<p>This study investigates the impact of corporate liquidity and capital structure on tax avoidance, and the moderating role of institutional ownership, within Indonesian infrastructure firms. It addresses literature gaps concerning the precise interplay among these financial and governance variables in this sector. The primary aim is to empirically assess how liquidity, capital structure, and institutional ownership (including its moderating effect) collectively influence tax avoidance. Employing a quantitative descriptive methodology, secondary data from Indonesian infrastructure firms' financial statements (2021-2024) listed on the Indonesia Stock Exchange were utilized. Analysis was performed using SPSS software with the Absolute Difference Moderation technique. Findings reveal a positive relationship between both liquidity and institutional ownership with tax avoidance. Furthermore, institutional ownership was found to reinforce liquidity's impact on tax avoidance. Practical implications are significant for corporate management in enhancing liquidity and capital structure strategies, for regulatory bodies in crafting robust fiscal policies, and for investors in evaluating associated risks and opportunities.</p>
title Institutional Monitoring as a Moderator: Examining Its Impact on Tax Avoidance Determinants in Indonesia
topic Capital Structure; Infrastructure; Institutional Ownership; Liquidity; Tax Avoidance
url https://doi.org/10.5281/zenodo.15834626