The Effect of Corporate Governance, Sales Growth, and Capital Intensity on Tax Avoidance

Abstract

This study aims to determine the effect of corporate governance on tax avoidance, the effect of sales growth and the effect of capital intensity on tax avoidance in pharmaceutical manufacturing companies in the consumer goods sector listed on the IDX in 2020-2022. This study uses quantitative methods and focuses on hypothesis testing by using numerical variable analysis and statistical data analysis in manufacturing companies in the pharmaceutical consumer goods subsector listed on the Indonesian Stock Exchange (IDX). The type of research data used in this study is secondary data. The analysis method uses descriptive analysis, classical assumption test, and research hypothesis testing with a sample population of 10 companies. The results showed that corporate governance proxy independent board of commissioners has a positive impact on tax evasion, proxy institutional ownership has a negative influence on tax evasion, sales growth has a positive impact on tax avoidance, and capital intensity has a positive influence on tax avoidance from manufacturing companies in the pharmaceutical sector consumer goods sector in 2020-2022.