Operating Cash Flows, Foreign Ownership, and Solvency on Tax Avoidance

The government uses tax collection as a strategy to increase national income, but companies are trying to reduce the amount of tax that must be removed. This is what causes the practice of tax avoidance. The focus of this research is how factors such as operating cash flow, foreign ownership, and so...

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Main Authors: Nahda Paramitha, Kurnia Kurnia
Format: Article
Language:English
Published: Maranatha Christian University 2023-11-01
Series:Jurnal Akuntansi
Online Access:https://journal.maranatha.edu/index.php/jam/article/view/6824
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author Nahda Paramitha
Kurnia Kurnia
author_facet Nahda Paramitha
Kurnia Kurnia
author_sort Nahda Paramitha
collection DOAJ
description The government uses tax collection as a strategy to increase national income, but companies are trying to reduce the amount of tax that must be removed. This is what causes the practice of tax avoidance. The focus of this research is how factors such as operating cash flow, foreign ownership, and solvency affect tax avoidance. This study applied a purposive sampling technique for the sample, with a total of 18 companies selected as research objects from 2017 to 2021 and obtained 87 observational data from companies in the mining industry sector listed on the IDX. The data is examined using a technique called panel data regression analysis using Eviews 12 in its processing. The results reveal that operating cash flow, foreign ownership, and solvency affect simultaneously. However, partially operating cash flow has an effect on tax avoidance and for foreign ownership and solvency does not partially affect tax avoidance. Keywords: Tax Avoidance, Operating Cash Flow, and Foreign Ownership, Solvency
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spelling doaj-art-ad370da07ed34fc29b39f651201d39b42025-08-20T03:06:46ZengMaranatha Christian UniversityJurnal Akuntansi2085-86982598-49772023-11-0115231932910.28932/jam.v15i2.68246422Operating Cash Flows, Foreign Ownership, and Solvency on Tax AvoidanceNahda Paramitha0Kurnia Kurnia1Universitas TelkomUniversitas TelkomThe government uses tax collection as a strategy to increase national income, but companies are trying to reduce the amount of tax that must be removed. This is what causes the practice of tax avoidance. The focus of this research is how factors such as operating cash flow, foreign ownership, and solvency affect tax avoidance. This study applied a purposive sampling technique for the sample, with a total of 18 companies selected as research objects from 2017 to 2021 and obtained 87 observational data from companies in the mining industry sector listed on the IDX. The data is examined using a technique called panel data regression analysis using Eviews 12 in its processing. The results reveal that operating cash flow, foreign ownership, and solvency affect simultaneously. However, partially operating cash flow has an effect on tax avoidance and for foreign ownership and solvency does not partially affect tax avoidance. Keywords: Tax Avoidance, Operating Cash Flow, and Foreign Ownership, Solvencyhttps://journal.maranatha.edu/index.php/jam/article/view/6824
spellingShingle Nahda Paramitha
Kurnia Kurnia
Operating Cash Flows, Foreign Ownership, and Solvency on Tax Avoidance
Jurnal Akuntansi
title Operating Cash Flows, Foreign Ownership, and Solvency on Tax Avoidance
title_full Operating Cash Flows, Foreign Ownership, and Solvency on Tax Avoidance
title_fullStr Operating Cash Flows, Foreign Ownership, and Solvency on Tax Avoidance
title_full_unstemmed Operating Cash Flows, Foreign Ownership, and Solvency on Tax Avoidance
title_short Operating Cash Flows, Foreign Ownership, and Solvency on Tax Avoidance
title_sort operating cash flows foreign ownership and solvency on tax avoidance
url https://journal.maranatha.edu/index.php/jam/article/view/6824
work_keys_str_mv AT nahdaparamitha operatingcashflowsforeignownershipandsolvencyontaxavoidance
AT kurniakurnia operatingcashflowsforeignownershipandsolvencyontaxavoidance