IJRR

International Journal of Research and Review

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Research Paper

Year: 2022 | Month: January | Volume: 9 | Issue: 1 | Pages: 239-250

DOI: https://doi.org/10.52403/ijrr.20220130

The Analysis of Political Connections Impact, Profitability, Firm Size, Leverage and Tax Incentives on Tax Aggressiveness Before and After Tax Amnesty Policy in Indonesia
(Study on Real Estate Companies Listed on the Indonesia Stock Exchange 2014-2017)

Fittry Megasari Sijabat1, Erlina1, Hasan Basri Tarmizi1

1Department of Accounting, Faculty of Economics and Business at Universitas Sumatera Utara, Indonesia

Corresponding Author: Fittry Megasari Sijabat

ABSTRACT

This study aims to analyze the variables of political connection, profitability, firm size, leverage, and tax incentives on tax aggressiveness (ETR) after implementing the tax amnesty in Indonesia in 2016. The research used is qualitative.
The population in this study is all Real Estate companies listed on the Indonesia Stock Exchange in 2014-2017. The sampling method used was the purposive sampling method, so that 35 real estate companies were sampled in this study with 4 2014-2017 financial statements so that there were a total of 140 research samples. The data analysis technique used in this study is a multiple linear regression model by testing descriptive statistics and classical assumptions.
The results obtained in this study are that political connections, profitability, firm size, leverage, and tax incentives affect tax aggressiveness. The political connection does not affect tax aggressiveness. Profitability, firm size, and tax incentives positively and significantly affect tax aggressiveness. Leverage has a negative effect on tax aggressiveness.

Keywords: political connection, profitability, firm size, leverage, and tax incentives, tax aggressiveness.

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