Taxation and Public Finance

Enhancing Firm Value: The Role of Managerial Ownership, Independent Commissioners, Audit Quality, and Corporate Social Responsibility

Inggit Dwi Puspitasari — 2025-06-11

This study aims to investigate the impact of managerial ownership, independent commissioners, audit quality, and corporate social responsibility (CSR) on firm value. It employs a quantitative research approach and focuses on a sample of companies within the primary consumer goods sector. The sampling method utilized is purposive sampling, resulting in a total of 23 companies. Secondary data, specifically the financial statements of these companies, were obtained from the official website of the Indonesian Stock Exchange (IDX). The analysis is conducted using multiple linear regression. The findings reveal that managerial ownership, audit quality, and CSR have a significant positive effect on firm value. In contrast, the variable of independent commissioners does not exhibit a significant impact on firm value. This study contributes to the existing literature by providing empirical evidence regarding governance and CSR practices that enhance firm value in emerging markets. It provides valuable insights for stakeholders seeking to enhance corporate governance mechanisms. From a managerial perspective, the results suggest that companies should enhance governance frameworks by increasing managerial ownership and ensuring that independent commissioners play an active role in strategic oversight. Additionally, prioritizing good audit quality is essential for improving transparency and fostering stakeholder trust.

Corporate Investment Dynamics: The Effect of Operating Efficiency and Financial Leverage on Capital Expenditure

Md. Adnan Ahmed — 2025-06-12

This study investigates the effects of operating efficiency and financial leverage on the investment decisions of non-financial listed firms on the Dhaka Stock Exchange, while accounting for factors such as firm age, size, profitability, economic growth, and the impacts of COVID-19. Utilizing a comprehensive dataset that encompasses a wide range of non-financial firms, the analysis applied both the Random Effects model and the Panel-Corrected Standard Errors (PCSE) model to ensure robustness in the results. The findings indicate that both operating efficiency, as measured by asset turnover, and financial leverage significantly influence corporate investment decisions across both models. Notably, firms demonstrating higher operating efficiency are more likely to elevate their capital expenditures, whereas financial leverage tends to have a detrimental effect on corporate investment. Additionally, the analysis of control variables offers further insights into how these factors shape investment behavior. The results highlight the critical role of effective resource management and cautious financial strategies in steering corporate investment decisions. This study enhances our understanding of investment behavior in non-financial firms and points to potential avenues for future research, including the investigation of additional variables and sector-specific analyses.

Impact of Corporate Social Responsibility, Managerial and Institutional Ownership, on Financial Performance and Firm Value

Annisha Fitriana — 2025-06-12

This study aims to examine the impact of Corporate Social Responsibility (CSR), Managerial Ownership, and Institutional Ownership on Financial Performance and Firm Value within 10 food and beverage sub-sector Firms listed on the IDX from 2017 to 2021. The analysis employs Panel Data Analysis using the Eviews application. The findings reveal that both CSR and Managerial Ownership exert a significant positive influence on Financial Performance, while Institutional Ownership does not demonstrate a statistically significant effect. Conversely, Managerial Ownership negatively affects Firm Value, whereas CSR and Institutional Ownership show no significant impact on Firm Value. When analyzed together, the CSR Ratio, Managerial Ownership, and Institutional Ownership significantly affect both Financial Performance and Firm Value. This study enriches academic discourse by enhancing the understanding of how CSR, managerial ownership, and institutional ownership collectively influence financial performance and firm value. For practitioners, the insights provided can inform strategies for optimizing ownership structures and CSR initiatives to improve financial outcomes and market valuation. The managerial implication is that Firms should strategically incorporate CSR programs to foster sustainable social and economic value.

Assessing the Effect of Tax Policy Changes on Compliance in Payment and Reporting by Small Enterprises: A Study at the South Bekasi Tax Office

Mishelei Loen — 2025-06-12

This study analyzes the impact of changes in MSME tax rates and tax sanctions on taxpayer compliance in terms of payment and reporting. Using a quantitative descriptive approach, data were collected through questionnaires with a purposive sampling method, involving 92 Micro, Small, and Medium Enterprises (MSMEs) in Bekasi City. Data analysis employed simple and multiple linear regression techniques. The results show that MSMEs tax rates have a positive and significant effect on taxpayer compliance, with a coefficient of determination of 0.434. Tax sanctions also positively and significantly influence compliance. Moreover, both tax rates and sanctions have a combined positive and significant impact on fulfilling tax obligations. This indicates that changes in tax policy can directly affect the compliance behavior of small businesses. Partial and joint effects demonstrate that both elements are important in shaping tax behavior. The study suggests that tax authorities should implement fair, transparent policies, supported by effective communication and education. Simplifying procedures and offering support can foster greater voluntary compliance, ultimately strengthening the relationship between MSMEs and the tax office. These findings underline the need for a balanced approach that integrates enforcement with facilitation to enhance tax compliance among small enterprises.

Impact of Sales Growth, Corporate Risk, Profitability, and Liquidity on Tax Avoidance Strategies

Indah Rahma Sari — 2025-06-13

This study seeks to examine the impact of sales growth, company risk, profitability, and liquidity on tax avoidance. The research focuses on manufacturing firms within the pharmaceutical and healthcare sectors. Employing a quantitative research methodology, the study drew its sample from 10 firms selected through purposive sampling. Secondary data were gathered from the financial statements of these firms. The analysis was conducted using multiple linear regression techniques, incorporating descriptive statistical analysis, classical assumption tests, and hypothesis testing. The findings from the regression analysis indicate that both sales growth and profitability have a negative effect on tax avoidance. At the same time, company risk and liquidity do not significantly influence tax avoidance. This study contributes empirically to the understanding of how internal company factors, such as sales growth and profitability, affect tax avoidance strategies, specifically in the pharmaceutical and healthcare manufacturing sectors in Indonesia. Additionally, it serves as a practical reference for more ethical and effective tax planning. The managerial implications suggest that firms should carefully manage these factors to achieve a balance between optimizing tax liabilities and meeting their tax obligations.