ACCOUNTING & FINANCE CORNER
Friday July 19th 2019

Tax Avoidance, Cost of Financing and Ownership Structure: Evidence From Indonesia

Anies Lastiati

Dwi Martani

Abstract

 This paper provides empirical evidence on the relationship between tax avoidance, cost of debt and ownership structure using Indonesian firms listed in IDX during the tax years of 2009, 2010 and 2011. Two questions are addressed in this research. First, whether participating in tax avoidance activities is negatively associated with the cost of debt (COD) and second, whether the ownership structure (institutional ownership and second large ownership) as good corporate governance system intensify the effect of tax avoidance on the COD. I find a negative relationship between tax avoidance and cost of debt. This result is consistent with previous research and in support of the trade-off hypothesis. Further examination on the relationship between the tax avoidance and cost of debt involving ownership structure reveals that this negative relationship is not impacted by the ownership structure employed by the firms. Both the proxies of ownership structure, namely institutional ownership and second large ownership, are not able to impact on the strong relation exist between the tax avoidance and the cost of debt.

Dipresentasikan pada The 25th Asian-Pacific Conference on International Accounting Issues, Grand Hyatt, Nusa Dua – Bali, Indonesia, 10 – 13 November 2013. Tax Avoidance Cost of Financing

Latest Topics

Kurikulum Akuntansi Publik

Saat diminta bicara kurikulum akuntansi publik, saya pribadi merasa kurang percaya diri. Pertama karena pemahaman saya [Read More]

Overview PSAK 71 Instrumen Keuangan, PSAK 72 Pendapatan dari Kontrak Pelanggan, PSAK 73 Sewa

Berikut sedikit update overview PSAK baru. fokus pada PSAK 71, 72 dan 73   salam Perkembangan Standar & [Read More]

Overview Standar Akuntansi Keuangan Terbaru – UDINUS

PSAK baru tidak akan pernah selesai diajarkan sampai dengan standar tersebut efektif. Bahkan saat PSAK tertentu efektif [Read More]

AKUNTANSI BADAN LAYANAN UMUM / BLU

BLU adalah badan yang berada di bawah Pemerintah Pusat atau Pemerintah Daerah yang mengemban tugas untuk memberikan [Read More]

Perkembangan PSAK dan PSAK 46 Akuntansi Pajak Penghasilan

PSAK 46 Akuntansi Pajak Penghasilan, sering dilupakan dalam pembelajaran akuntansi keuangan, namun pada sisi lain Dosen [Read More]

Popular Topics

Dokumen Publikasi puisi

Pages

Insider

Archives