Bankruptcy risk, board of commissioners' effectiveness, and tax avoidance

Bintar Surya Putra; Siti Nuryanah; Sardar M.N. Islam

Bankruptcy risk, board of commissioners' effectiveness, and tax avoidance

Bintar Surya Putra, Siti Nuryanah, Sardar M.N. Islam

Department of Accounting

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › peer-review

1 Citation (Scopus)

Abstract

This study examines the effect of bankruptcy risk on tax avoidance and the moderating effect of the board of commissioners' effectiveness on the relationship between bankruptcy risk and tax avoidance. This study was conducted by taking sample from Indonesia, a developing country, due to the country's specific characteristics relating to risks. Data are collected from Indonesia Stock Exchange for the period 2014-2016; the period before the tax amnesty program was launched in Indonesia. The results of the study show that bankruptcy risk has a positive effect on tax avoidance. The study also found that the board of commissioners' effectiveness weakens the positive relationship between bankruptcy risk and tax avoidance. This study reveals the implications of the effect of bankruptcy risk and tax avoidance in Indonesia and the moderating effect of board of commissioners' effectiveness on the relationship between bankruptcy risk and tax avoidance. The results of the study show that bankruptcy risk has a positive effect on tax avoidance. The study also found that the board of commissioners' effectiveness weakens the positive relationship between bankruptcy risk and tax avoidance. This study reveals the implications on tax avoidance activities in Indonesia and the effectiveness of board of commissioners.

Original language	English
Title of host publication	Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019
Subtitle of host publication	Education Excellence and Innovation Management through Vision 2020
Editors	Khalid S. Soliman
Publisher	International Business Information Management Association, IBIMA
Pages	9307-9318
Number of pages	12
ISBN (Electronic)	9780999855126
Publication status	Published - 1 Jan 2019
Event	33rd International Business Information Management Association Conference: Education Excellence and Innovation Management through Vision 2020, IBIMA 2019 - Granada, Spain Duration: 10 Apr 2019 → 11 Apr 2019

Publication series

Name	Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019: Education Excellence and Innovation Management through Vision 2020

Conference

Conference	33rd International Business Information Management Association Conference: Education Excellence and Innovation Management through Vision 2020, IBIMA 2019
Country/Territory	Spain
City	Granada
Period	10/04/19 → 11/04/19

Keywords

Altman Z-Score
Bankruptcy risk
Board of commissioners
Two-tier board

Cite this

Putra, B. S., Nuryanah, S., & Islam, S. M. N. (2019). Bankruptcy risk, board of commissioners' effectiveness, and tax avoidance. In K. S. Soliman (Ed.), Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019: Education Excellence and Innovation Management through Vision 2020 (pp. 9307-9318). (Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019: Education Excellence and Innovation Management through Vision 2020). International Business Information Management Association, IBIMA.

Putra, Bintar Surya ; Nuryanah, Siti ; Islam, Sardar M.N. / Bankruptcy risk, board of commissioners' effectiveness, and tax avoidance. Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019: Education Excellence and Innovation Management through Vision 2020. editor / Khalid S. Soliman. International Business Information Management Association, IBIMA, 2019. pp. 9307-9318 (Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019: Education Excellence and Innovation Management through Vision 2020).

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abstract = "This study examines the effect of bankruptcy risk on tax avoidance and the moderating effect of the board of commissioners' effectiveness on the relationship between bankruptcy risk and tax avoidance. This study was conducted by taking sample from Indonesia, a developing country, due to the country's specific characteristics relating to risks. Data are collected from Indonesia Stock Exchange for the period 2014-2016; the period before the tax amnesty program was launched in Indonesia. The results of the study show that bankruptcy risk has a positive effect on tax avoidance. The study also found that the board of commissioners' effectiveness weakens the positive relationship between bankruptcy risk and tax avoidance. This study reveals the implications of the effect of bankruptcy risk and tax avoidance in Indonesia and the moderating effect of board of commissioners' effectiveness on the relationship between bankruptcy risk and tax avoidance. The results of the study show that bankruptcy risk has a positive effect on tax avoidance. The study also found that the board of commissioners' effectiveness weakens the positive relationship between bankruptcy risk and tax avoidance. This study reveals the implications on tax avoidance activities in Indonesia and the effectiveness of board of commissioners.",

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Putra, BS, Nuryanah, S & Islam, SMN 2019, Bankruptcy risk, board of commissioners' effectiveness, and tax avoidance. in KS Soliman (ed.), Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019: Education Excellence and Innovation Management through Vision 2020. Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019: Education Excellence and Innovation Management through Vision 2020, International Business Information Management Association, IBIMA, pp. 9307-9318, 33rd International Business Information Management Association Conference: Education Excellence and Innovation Management through Vision 2020, IBIMA 2019, Granada, Spain, 10/04/19.

Bankruptcy risk, board of commissioners' effectiveness, and tax avoidance. / Putra, Bintar Surya; Nuryanah, Siti; Islam, Sardar M.N.
Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019: Education Excellence and Innovation Management through Vision 2020. ed. / Khalid S. Soliman. International Business Information Management Association, IBIMA, 2019. p. 9307-9318 (Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019: Education Excellence and Innovation Management through Vision 2020).

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › peer-review

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N2 - This study examines the effect of bankruptcy risk on tax avoidance and the moderating effect of the board of commissioners' effectiveness on the relationship between bankruptcy risk and tax avoidance. This study was conducted by taking sample from Indonesia, a developing country, due to the country's specific characteristics relating to risks. Data are collected from Indonesia Stock Exchange for the period 2014-2016; the period before the tax amnesty program was launched in Indonesia. The results of the study show that bankruptcy risk has a positive effect on tax avoidance. The study also found that the board of commissioners' effectiveness weakens the positive relationship between bankruptcy risk and tax avoidance. This study reveals the implications of the effect of bankruptcy risk and tax avoidance in Indonesia and the moderating effect of board of commissioners' effectiveness on the relationship between bankruptcy risk and tax avoidance. The results of the study show that bankruptcy risk has a positive effect on tax avoidance. The study also found that the board of commissioners' effectiveness weakens the positive relationship between bankruptcy risk and tax avoidance. This study reveals the implications on tax avoidance activities in Indonesia and the effectiveness of board of commissioners.

AB - This study examines the effect of bankruptcy risk on tax avoidance and the moderating effect of the board of commissioners' effectiveness on the relationship between bankruptcy risk and tax avoidance. This study was conducted by taking sample from Indonesia, a developing country, due to the country's specific characteristics relating to risks. Data are collected from Indonesia Stock Exchange for the period 2014-2016; the period before the tax amnesty program was launched in Indonesia. The results of the study show that bankruptcy risk has a positive effect on tax avoidance. The study also found that the board of commissioners' effectiveness weakens the positive relationship between bankruptcy risk and tax avoidance. This study reveals the implications of the effect of bankruptcy risk and tax avoidance in Indonesia and the moderating effect of board of commissioners' effectiveness on the relationship between bankruptcy risk and tax avoidance. The results of the study show that bankruptcy risk has a positive effect on tax avoidance. The study also found that the board of commissioners' effectiveness weakens the positive relationship between bankruptcy risk and tax avoidance. This study reveals the implications on tax avoidance activities in Indonesia and the effectiveness of board of commissioners.

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Putra BS, Nuryanah S, Islam SMN. Bankruptcy risk, board of commissioners' effectiveness, and tax avoidance. In Soliman KS, editor, Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019: Education Excellence and Innovation Management through Vision 2020. International Business Information Management Association, IBIMA. 2019. p. 9307-9318. (Proceedings of the 33rd International Business Information Management Association Conference, IBIMA 2019: Education Excellence and Innovation Management through Vision 2020).

Bankruptcy risk, board of commissioners' effectiveness, and tax avoidance

Abstract

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Conference

Keywords

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