PENGARUH MEKANISME CORPORATE GOVERNANCE DAN PENGUNGKAPAN CORPORATE SOCIAL RESPONSIBILITY TERHADAP TAX AVOIDANCE

Abstract

The corporate governance concepts are believed to serve as a monitoring and control system in a company. The research about tax avoidance has many done in foreign, however In Indonesia the relevant research has been still limited. This study aim to examine the effect of corporate governance mechanism and corporate social responsibility disclosure on tax avoidance. We use the agency theory and stakeholder theory to underpin this relationship. The corporate governance mechanisms used in this study consist of institutional ownership, independent board composition, audit committees, and audit quality. While the practice of corporate social responsibility for this study measured by corporate social responsibility disclosure. By using manufacturing companies (2010-2012 data) that listed in Indonesia Stock Exchange and purposive sampling method to select the sample, we find that institutional ownership, independent board composition, audit committees and audit quality has no significant effect on tax avoidance. In contrast to the corporate governance variables, corporate social responsibility variables significant effect on tax avoidance. In addition, the control variables do not affect the tax avoidance. Keywords : corporate governance, corporate social responsibility disclosures, and tax avoidance