PENGARUH PROFITABILITAS, LEVERAGE DAN UKURAN PERUSAHAAN TERHADAP TAX AVOIDANCE

Abstract

This research aimed to analyze the effect of profitability measured by Return On Asset (ROA), leverage measured by Debt To Equity Ratio (DER) ratio and firm value measured by total asset on the tax avoidance measured by Cash Effective Tax Rate (CETR). The research was quantitative. Furthermore, the research data used secondary data taken from the financial statement published on the website of The Indonesia Stock Exchange. Moreover, the research sample used a purposive sampling method i.e., a sample selection based on the determined criteria. The purposive sampling obtained secondary data with 124 samples from 57 Consumer Goods listed on The Indonesia Stock Exchange from 2017 until 2020 period. Meanwhile, the research analysis method used multiple linear regression analysis and it processed with SPSS 25 version. The research result concluded that profitability had a negative effect on tax avoidance, leverage did not affect the tax avoidance also the company’s firm size had a positive effect on the tax avoidance.