The Effect of Growth and Corporate Financial Indicators on Tax Avoidance in Industrial Companies in 2020-2024

Abstract

This study aims to analyze the influence of company size, leverage, profitability, capital intensity, and sales growth on companies in the miscellaneous industry sector listed on the IDX from 2020 to 2024. Where company size is measured using the natural logarithm of total assets, leverage is measured using the debt-to-equity ratio (DER), profitability is measured using return on assets (ROA), capital intensity is measured using capital intensity (CAP), and sales growth is measured using sales growth (SG). This study employs a quantitative method with purposive sampling, yielding a sample of 10 companies. Data analysis in this study uses multiple linear regression analysis with IBM SPSS Statistics Version 25. The results indicate that, partially, the variables of company size, leverage, profitability, and capital intensity do not influence tax avoidance. Meanwhile, the sales growth variable has an effect on tax avoidance. Simultaneously, the variables of company size, leverage, profitability, and capital intensity, as well as Sales Growth, have an effect on tax avoidance.

Keywords: Company Size, Leverage, Profitability, Sales Growth, Tax Avoidance.