PENGARUH KARAKTER EKSEKUTIF, UKURAN PERUSAHAAN DAN KINERJA KEUANGAN TERHADAP TAX AVOIDANCE DENGAN POLITICAL CONNECTION SEBAGAI VARIABEL MODERASI

Abstract

This research aimed to find out the effect of executive characteristics, firm size, and financial performance on tax avoidance, with political connections as moderating variables (at Pharmaceutical companies in Indonesia during 2018-2022). The research was causal-associative with a quantitative approach. Moreover, the data were all pharmaceutical companies listed on the Indonesia Stock Exchange (IDX). The observation was implemented during 2018-2022. Furthermore, the data collection technique used purposive sampling. In line with that, there were 10 companies as the sample. The data analysis technique used multiple linear regression and moderation regression with SPSS 27. The result concluded that executive characteristics had a positive effect on tax avoidance. Likewise, firm size had a positive effect on tax avoidance. Similarly, financial performance had a positive effect on tax avoidance. Also, political connections had a positive effect on tax avoidance. Additionally, political connections moderated the effect of executive characteristics on tax avoidance. Political connections moderated the effect of firm size on tax avoidance as well. In addition, political connections moderated the effect of financial performance on tax avoidance.