Tax Avoidance from Managerial Ownership and Profitability Aspects in Registered Mining Companies on the Indonesia Stock Exchange

Abstract

The purpose of this study is to ascertain the direct and indirect influence of management ownership on tax evasion in mining businesses listed on the Indonesian Stock Exchange via profitability (IDX). The population for this study was comprised of all mining businesses listed on IDX, a total of 51. Purposive sampling was performed, resulting in up to 44 sample firms. The data were analyzed using path analysis and SPSS Version 26 software. The findings indicate that: 1) managerial ownership has a positive and significant effect on profitability; 2) managerial ownership has a positive but insignificant effect on managerial ownership; 3) profitability has a positive and significant effect on tax avoidance; and 4) managerial ownership's indirect effect on tax avoidance has a positive and significant effect.