Effect of Return On Assets and Debt to Assets Ratio on Tax Avoidance in Plantation Companies Listed on the Indonesia Stock Exchange Period 2017-2019

Abstract

For companies, tax is a burden that will reduce net profit so many companies are trying to find ways to minimize the tax burden that does not violate the Law commonly referred to as tax avoidanc, this study aims to determine the effect of Return On Assets and Debt to Assets Ratio on tax avoidance. The sampling technique used is purposive sampling, the final number of samples as many as 10 plantation companies listed on the Indonesia Stock Exchange in 2017-2019. The analysis method used is multiple linear regression analysis of panel data using SPSS 24.00. Based on the results of the study, it shows that the Return On Assets and Debt to Assets Ratio have a significant effect on tax avoidance. It is recommended to the next research if you want to follow up on Return On Assets, Debt to Assets Ratio and tax avoidance or with similar research topics can be expected to add other variables, such as liquidity variables and company size. The management is expected to be able to manage all of its total assets and control interest expenses and minimize its tax burden every year so that the profit obtained by the company increases every year