Optimization of taxes and firm value: a study on tax avoidance in the food and beverage sector from the akman perspective
DOI:
https://doi.org/10.35335/ijafibs.v13i2.390Keywords:
Akman Perspective, Company Size, Firm Value, Food and Beverage Sector, Tax AvoidanceAbstract
The purpose of this study is to examine the effectiveness of tax avoidance and company size in influencing firm value in the food and beverage manufacturing sector. Furthermore, the study also highlights the relevance of firm value as a contributor to broader economic growth. The research adopts a quantitative approach using secondary data collected from the Indonesia Stock Exchange (IDX). The study population consists of 26 manufacturing companies in the food and beverage subsector listed on the IDX between 2018 and 2022, with a purposive sampling method used to determine the final sample. Data were analyzed using multiple linear regression analysis, adhering to relevant statistical procedures. The findings show that both tax avoidance practices and the size of the company have a positive and significant influence on firm value. This indicates that effective tax planning, when managed responsibly, can contribute to increasing the value of a company. Additionally, larger firms with greater assets and operational scale tend to have stronger market valuations. The study underscores the importance of aligning accounting and management perspectives to optimize financial strategies that enhance firm value, particularly in the context of Indonesia's growing food and beverage industry.
References
Ali, J., Faroji, R., & Ali, O. (2021). The effect of profitability on firm value: (Empirical study on consumer goods sector companies listed on the Indonesia Stock Exchange 2017-2019). J Neraca Perad. Retrieved from http://journal-stiehidayatullah.ac.id/index.php/neraca/article/view/36
Amaliyah, F., & Herwiyanti, E. (2019). The effect of institutional ownership, independent commissioners, and audit committee on firm value in the mining sector. J Akunt. Retrieved from https://ejournal.unib.ac.id/index.php/JurnalAkuntansi/article/view/8781
Anasta, L. (2019). The effect of profitability and tax avoidance on profit management and its impact on company value. European Journal of Business and Management. Retrieved from https://core.ac.uk/download/pdf/234629136.pdf
Bagheri, A., Eskandari, A., & Mehdazadeh, M. (2023). Examining the role of managers’ self-interest on therelationship between tax avoidance and company value. J Account Manag Vis. Retrieved from https://www.jamv.ir/article_190405.html?lang=en
Bestar, S. C., & Damayanty, P. (2023). The effect of profit management, tax planning, tax avoidance on company value (empirical study of basic and chemical industrial). Int J Econ Bus Account Res, 7(4). Retrieved from https://jurnal.stie-aas.ac.id/index.php/IJEBAR/article/view/12424
Brivot, M., Paquette, S., & Huxley, Z. (2025). Navigating the spectrum of aggressiveness: Social dynamics and anxieties in tax planning. Accounting, Organizations and Society, 114, 101589.
Choi, S. Y., Ryu, D., & You, W. (2024). ESG activities and financial stability: The case of Korean financial firms. Borsa Istanbul Review, 24(5), 945-951.
Cooray, A., & Özmen, I. (2024). The role of institutions on public debt: A quantile regression approach. International Review of Economics & Finance, 93, 912-928.
Hertina, D., Hidayat, M. B. H., et al. (2019). Company size, debt policy, and profitability impact on firm value. Jurnal Ecodemica. Retrieved from http://download.garuda.kemdikbud.go.id/article.php?article=989140&val=10493&title=Ukuran Perusahaan Kebijakan Hutang Dan Profitabilitas Pengaruhnya Terhadap Nilai Perusahaan
Iman, C., Sari, F. N., & Pujiati, N. (2021). The effect of liquidity and profitability on firm value. J Perspekt. Retrieved from https://ejournal.bsi.ac.id/ejurnal/index.php/perspektif/article/view/11393
Jalih, J. H. (2023). The effect of tax avoidance on company value with profit quality as an intervening variable. EPRA Int J Econ Bus Rev, 11(8). Retrieved from http://eprajournals.net/index.php/JEBR/article/view/2588
Kalbuana, N., & Aryadi, R. C. (2020). The effect of audit quality, tax avoidance, leverage, and presentation of other comprehensive income on firm’s value in Jakarta Islamic index company. J Islam Econ Perspect, 2(1). Retrieved from https://jurnalfebi.uinkhas.ac.id/index.php/JIEP/article/view/29
Martha L., Sogiroh, N. U., Magdalena, M., Susanti, F., et al. (2018). Profitability and dividend policy toward firm value. J Benefita, 3(2). Retrieved from http://ejournal.lldikti10.id/index.php/benefita/article/view/3493
Oktaviarni, F., Murni, Y., & Suprayitno, B. (2019). The effect of profitability, liquidity, leverage, dividend policy, and company size on firm value. J Akunt. Retrieved from https://ejournal.unib.ac.id/index.php/jurnalakuntansi/article/view/5970
Pangemanan, C. O., & Prasetyo, R. J., et al. (2024). Profit management and tax avoidance on company value. Int J Bus Appl Econ, 3(1). Retrieved from https://journal.formosapublisher.org/index.php/ijbae/article/view/7899
Pujiastuti, H., Subkhan, F., & Zepania, I. (2022). Dividend policy, leverage on company value and tax avoidance as moderating variables. Dinasti Int J Educ Manag Soc Sci. Retrieved from https://dinastipub.org/DIJEMSS/article/view/1248
Rivandi, M. (2018). The effect of intellectual capital disclosure, financial performance, and managerial ownership on firm value. J Pundi. Retrieved from https://ojs.akbpstie.ac.id/index.php/jurnal-pundi/article/view/61
Rizki, I. H. (2023). Analysis of corporate income tax in the manufacturing company sub-sector of automotive and components. Jurnal Manajemen Bisnis Eka Prasetya Penelitian Ilmu Manajemen, 9(2), 131-139.
Soviana, I., Amboningtyas, D., & Fathoni, A. (2020). The effect of company size, leverage, firm value on tax avoidance with company transparency as a moderating variable (empirical study of coal mining companies). Journal of Management, 2(1). Retrieved from http://jurnal.unpand.ac.id/index.php/MS/article/download/1503/1462
Stetsuk, N., Makasheva, S., Stetsyuk, A., & Pinchukov, P. (2022). Optimization of property tax deductions for railway transport organizations based on Russian Railways JSC example. Transportation Research Procedia, 61, 125-131.
Tian, J., Wang, P., & Zhu, D. (2024). Overview of Chinese new energy vehicle industry and policy development. Green Energy and Resources, 100075.
Wibowo, D. P., Widyastuti, S., Murtanto, M., et al. (2022). The effect of tax planning, tax avoidance and profitability on company value with financial performance as intervening variables. Budapest Int Res Critics Institute-Journal, 5(1). Retrieved from https://bircu-journal.com/index.php/birci/article/view/3760
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2025 International Journal of Applied Finance and Business Studies
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
