THE EFFECT OF ESG PERFORMANCE, EXECUTIVE COMPENSATION, AND CAPITAL INTENSITY ON TAX AVOIDANCE

Yulia Eva Listiani, Richo Diana Aviyanti, Anggita Langgeng Wijaya

Abstract


Thisxstudyxaimsxto examine the effect of ESG Performance, ExecutivexCompensation,xand CapitalxIntensityxonxTaxxAvoidance in consumerxnon-cyclicalxsectorxcompaniesxlistedxonxthe IndonesiaxStockxExchangex (IDX) during the 2021–2024 period..xThe research sample consists of 53 companies with a total of 212 observations after eliminating outliers. The sample was selected usingxthexpurposivexsamplingxmethod. Data analysis was conducted using multiple linear regression with SPSS 25. This study is based on agency theory, which describes the conflict of interest between the Directorate General of Taxes as the principal and companies as the agent. The results show that ESG Performance, Executive Compensation, andxCapitalxIntensityxhavexa significant effectxonxTax Avoidance. For further research, itxis suggested to include moderating variables to provide a deeper understanding of the factors influencing Tax Avoidance practices.

Keywords: ESG Performance, Executive Compensation, Capital Intensity, Tax Avoidance


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References


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