Penghindaran Pajak: Pengaruh Koneksi Politik dan Kepemilikan Institusional

Breverdy Putrananda Manihuruk; Santi  Novita

doi:10.33395/owner.v7i1.1285

Authors

Breverdy Putrananda Manihuruk Universitas Airlangga
Santi Novita Universitas Airlangga

DOI:

10.33395/owner.v7i1.1285

Keywords:

Political connection, institutional ownership, tax avoidance

Abstract

This study aims to test the effect of institutional ownership and political connection on tax avoidance. This study comprises 836 observations of firms in the non-financial industries from 2015-2018 listed on the Indonesia Stock Exchange. Multiple linear regression analysis with STATA 14 software is used. The result shows that political connections can be a tool to reduce tax avoidance, while institutional ownership effect tax avoidance only in the non-mining industry. The mining industry need wider pressure to mitigate the non-compliance on tax. The research may provide a deep insight the role of political connection especially for fiscal authority. It is a strengthen factor in the relation of the ownership and tax compliance. Furthermore, the character of industry doesn’t indicate that the certain industry has a higher potential to do incompliance

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