BUSINESS STRATEGY, FINANCIAL DISTRESS, AND TAX AVOIDANCE: DOES SALES GROWTH PLAY A MODERATING ROLE?
Keywords:
Business Strategy, Financial Distress, Sales Growth, Tax Avoidance Inflation, Return On Assets (ROA).Abstract
In the self-assessment system, the taxpayer has full authority over all activities of calculating and
collecting the tax itself. Several companies as taxpayers have not fulfilled their tax obligations properly, and
they are trying to avoid their tax obligations. The sample used is the Annual Financial Statements of Basic
and Chemical Industry companies listed on the Indonesia Stock Exchange with data analysis techniques using
multiple linear regression and MRA. The results of this study can be a consideration for the government in
making clear and firm tax regulations, so it can minimize the occurrence of tax avoidance and maximize state
revenue from the tax sector. The study results show that business strategy and financial distress negatively
and significantly affect Tax Avoidance. Sales Growth cannot moderate the effect of business strategy and
financial distress on tax avoidance.
