PENGARUH THIN CAPITALIZATION DAN AUDIT QUALITY TERHADAP TAX AVOIDANCE DENGAN SALES GROWTH SEBAGAI VARIABEL MODERASI

Abstract

The purpose of this study is to examine the relationship between thin capitalization and audit quality on tax avoidance with sales growth as a moderating variable. The population used in this study is property & real estate companies sector listed on the Indonesia Stock Exchange in 2019-2023. Sampling was done by purposive sampling method. The data testing technique in this study is to use Partial Last Square (PLS)-Structural Equation Modelling (SEM) data analysis. The results prove that thin capitalization and audit quality has a positive effect on tax avoidance, sales growth cannot moderate the effect of thin capitalization on tax avoidance, and sales growth can weaken the effect of audit quality on tax avoidance. This research has important implications for several parties, one of which is for tax regulators, which shows that tax regulations through the Minister of Finance's regulations need to be tightened again in the property & real estate sector so that opportunities or loopholes for tax avoidance can be minimized