Effect of thin capitalization, intellectual capital and independent commisioners on effective tax rate

Purpose – This research aims to determine the influence of thin capitalization, intellectual capital, and independent commissioners on effective tax rates, while also addressing a growing issue in the industrial sector. Methods – A quantitative approach was utilized, employing an explanatory res...

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Main Authors: Upita Sari, Sekar Mayangsari
Format: Article
Language:English
Published: Universitas Surabaya FEB, Jurusan Akuntansi 2025-03-01
Series:Akuntansi dan Teknologi Informasi
Subjects:
Online Access:https://journal.ubaya.ac.id/index.php/jati/article/view/7131
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author Upita Sari
Sekar Mayangsari
author_facet Upita Sari
Sekar Mayangsari
author_sort Upita Sari
collection DOAJ
description Purpose – This research aims to determine the influence of thin capitalization, intellectual capital, and independent commissioners on effective tax rates, while also addressing a growing issue in the industrial sector. Methods – A quantitative approach was utilized, employing an explanatory research strategy and purposive sampling technique. The sample population consisted of 41 companies, with data sourced from their annual financial reports. The data analysis included multiple linear regression, classical assumption testing, hypothesis testing using t-tests, and the coefficient of determination; SPSS statistical tools facilitated this analysis. Findings – The study found that thin capitalization, intellectual capital, and the role of independent commissioners significantly influence company performance and corporate tax avoidance, highlighting the importance of this research in the manufacturing sector. Implications - These findings have practical implications for company management. They suggest that intellectual capital can be an effective tool for managing effective tax rates, while the role of independent commissioners warrants careful evaluation. Conversely, thin capitalization appears to have minimal impact on effective tax rates. Originality – This research underscores the need to assess the effectiveness of independent commissioners in ensuring tax efficiency for consumer goods companies, as well as the necessity of protecting intellectual capital. This highlights the originality and significance of the study in the manufacturing field.
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language English
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spelling doaj-art-dcdfcd6a868145f4852f93857f2167042025-08-20T03:05:21ZengUniversitas Surabaya FEB, Jurusan AkuntansiAkuntansi dan Teknologi Informasi1412-59942614-87492025-03-0118110.24123/jati.v18i1.7131Effect of thin capitalization, intellectual capital and independent commisioners on effective tax rateUpita Sari0Sekar Mayangsari1Department of Accounting, University Trisakti, IndonesiaDepartment of Accounting, University Trisakti, Indonesia Purpose – This research aims to determine the influence of thin capitalization, intellectual capital, and independent commissioners on effective tax rates, while also addressing a growing issue in the industrial sector. Methods – A quantitative approach was utilized, employing an explanatory research strategy and purposive sampling technique. The sample population consisted of 41 companies, with data sourced from their annual financial reports. The data analysis included multiple linear regression, classical assumption testing, hypothesis testing using t-tests, and the coefficient of determination; SPSS statistical tools facilitated this analysis. Findings – The study found that thin capitalization, intellectual capital, and the role of independent commissioners significantly influence company performance and corporate tax avoidance, highlighting the importance of this research in the manufacturing sector. Implications - These findings have practical implications for company management. They suggest that intellectual capital can be an effective tool for managing effective tax rates, while the role of independent commissioners warrants careful evaluation. Conversely, thin capitalization appears to have minimal impact on effective tax rates. Originality – This research underscores the need to assess the effectiveness of independent commissioners in ensuring tax efficiency for consumer goods companies, as well as the necessity of protecting intellectual capital. This highlights the originality and significance of the study in the manufacturing field. https://journal.ubaya.ac.id/index.php/jati/article/view/7131Effective Tax RateIntellectual CapitalIndependent CommissionersThin Capitalization
spellingShingle Upita Sari
Sekar Mayangsari
Effect of thin capitalization, intellectual capital and independent commisioners on effective tax rate
Akuntansi dan Teknologi Informasi
Effective Tax Rate
Intellectual Capital
Independent Commissioners
Thin Capitalization
title Effect of thin capitalization, intellectual capital and independent commisioners on effective tax rate
title_full Effect of thin capitalization, intellectual capital and independent commisioners on effective tax rate
title_fullStr Effect of thin capitalization, intellectual capital and independent commisioners on effective tax rate
title_full_unstemmed Effect of thin capitalization, intellectual capital and independent commisioners on effective tax rate
title_short Effect of thin capitalization, intellectual capital and independent commisioners on effective tax rate
title_sort effect of thin capitalization intellectual capital and independent commisioners on effective tax rate
topic Effective Tax Rate
Intellectual Capital
Independent Commissioners
Thin Capitalization
url https://journal.ubaya.ac.id/index.php/jati/article/view/7131
work_keys_str_mv AT upitasari effectofthincapitalizationintellectualcapitalandindependentcommisionersoneffectivetaxrate
AT sekarmayangsari effectofthincapitalizationintellectualcapitalandindependentcommisionersoneffectivetaxrate