DETERMINANTS OF TAX AGGRESSIVENESS

This study aims to examine the factors that influence tax aggressiveness in food and beverage sub-sector companies listed on the Indonesia Stock Exchange (IDX). The variables used in this study are profitability (ROA), leverage, company size (size). The population in this study are food and beverage sub-sector manufacturing companies listed on the Indonesia Stock Exchange in 2020-2022. The sample in this study was selected using purposive sampling, and 63 data were taken. The data was analyzed using SmartPLS. The results of this study indicate that profitability and leverage have a positive and significant effect on tax aggressiveness while company size has no effect on tax aggressiveness


INTRODUCTION
Taxes are forced levies made by the government against taxpayers by paying taxpayer contributions to the state based on the law (Sutedi, 2022).Indonesia is a country whose sources of financing come from taxes and nontaxes.The largest source of state funding comes from taxes.Taxes play an important role to support the state's financial capability in implementing government programs.All tax money paid by the people is credited to the income of the state tax sector.
As one of the taxpayers, companies are required to pay taxes in accordance with tax provisions.By paying taxes, the company has indirectly contributed to the development of the country.The greater the tax paid by the company, the greater the state's tax revenue.Taxes for companies are a burden that can reduce company profits,

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while taxes for the state are revenue that will be used to fund government operations.This difference in interests causes companies to carry out tax planning or tax aggressiveness.Tax aggressiveness is one of the indicators used to see tax avoidance efforts by taxpayers.Tax aggressiveness can be through a mechanism that can be classified as tax avoidance.Tax aggressiveness is an act of engineering taxable income carried out by companies through tax planning actions, either using legal (tax avoidance) or illegal (tax evasion) methods (Kartika & Nurhayati, 2020).
In 2020, the Director General of Taxes at the Ministry of Finance, stated that corporate tax evasion intelligence has been identified, which is estimated to cost the government up to IDR 68.7 trillion per year.With the tax revenue target in 2020 according to the Ministry of Finance of IDR 1,198.82trillion, which means that the estimated occurrence of tax evasion practices is 5.7% of the 2020 target, or equivalent to 5.16% of the 2019 target of IDR 1,332 trillion.Companies conduct tax aggressiveness because Indonesia adheres to a self-assessment tax system.
The self-assessment system is a system that gives authority, trust, responsibility to taxpayers, both individuals and entities, to calculate, calculate, pay, and report the amount of tax to be paid themselves (Harefa & Gea, 2019).
There are several factors that influence corporate tax aggressiveness, namely profitability, leverage, and company size.Profitability plays an important role in maintaining business for the long term, achieving high profitability results improves and ensures the survival of the company.Research results.(Sari & Hidayat, 2022) and (Yauris & Agoes, 2019) state that profitability has a positive and significant effect on tax aggressiveness while (Hidayat & Fitria, 2018) state that profitability has no effect on tax aggressiveness.The performance that affects tax aggressiveness is leverage.The results of research (Rahmawati & Jaeni, 2022) state that leverage has no effect on tax aggressiveness while (Rochman & Oktaviani, 2021) state that leverage affects tax aggressiveness.
The size of the company is related to assets, the bigger the company, the greater the assets it has.The large size of the company will receive attention from the government in terms of profits, thus attracting attention to be taxed in accordance with applicable regulations.The results of research (Wardani & Puspitasari, 2022) state that company size has a positive effect on tax aggressiveness while (Yauris & Agoes, 2019) state that company size has no effect on tax aggressiveness.

RESEARCH METHOD
The type of data used in this study is quantitative data and the data source used is secondary data.Companies that meet the sample criteria and are used as samples 21 Source: Processed by the author

Tax Aggressiveness
Tax aggressiveness can be measured by Effective Tax Rate (ETR).ETR explains the percentage or ratio between the company's income tax burden that must be paid to the government from the company's total profit before tax.

ETR = Income Tax Expense
Profit Before Tax

Profitability
Profitability can be measured by comparing net income with total assets or commonly called Return on Assets (ROA).

Leverage
Company leverage can be measured using financial ratios

Company Size
Company size is proxied by Ln total assets, because it is considered that this size has a level of stability that is more than other proxies and tends to be sustainable between periods.

Inner Model Test
The inner model test is a model that connects latent variables.This inner model test uses the R value or R-square.
There are several criteria for the value of R 2 according to (Sarwono & Narimawati, 2015) the value of R 2 of 0.67 is categorized as substantial, the value of R 2 of 0.33 is categorized as moderate, the value of R 2 of 0.19 is categorized as weak, and the value of R 2 of> 0.7 is categorized as strong.In this study, it can be seen in table 2 that the R-square value shows that the Tax Aggressiveness variable has a value of 0.074 which is in the weak category.

Hypothesis Test (Bootstraping)
Saewono & Narimawati (2015) The t value and P value are used for hypothesis testing.If using the t value, the tstatistic value must be greater than 1.96.Meanwhile, if using the P value, the P value is compared to the alpha value <0.05.In this study, the results of hypothesis testing processed with SmartPLS show the results of the influence of the independent variables on the dependent variable as follows: Effect of Profitability on Tax Aggressiveness

Figure 2 .
Figure 2. PLS Path Model Output Graph

Table 1 . Sample Selection Criteria
The population used in this study are food and beverage sub-sector manufacturing companies listed on the Indonesia Stock Exchange in 2020-2022.The sampling technique used purposive sampling technique.This study uses SmartPLS as a hypothesis testing statistical analysis tool.The following are the criteria for selecting research samples:

Table 2 .
R-Square Source: Data Processed by the Author with SmartPLS