An analysis of the relationship between tax avoidance and debt maturity with financial constraints as the mediation variable

Vivi Ayu Kurniawati, Alfa Rahmiati

Research output: Contribution to journalArticlepeer-review

Abstract

This study aims to examine the relationship between tax avoidance and debt maturity with financial constraints as a mediation variable. The independent variable in this study is tax avoidance, measured by Cash Effective Tax Rate (CETR). The dependent variable in this study is debt maturity. Meanwhile, the mediating variable in this study is financial constraints that are measured by the KZ Index. The researcher uses a sample of 186 observations from 135 firms in the period 2016 to 2017 from non-financial firms listed on the Indonesia Stock Exchange (IDX). The results of this study indicate that there is a direct and indirect relationship between tax avoidance and debt maturity. This study also documented the full mediation effect of financial constraint on the relationship between tax avoidance and debt maturity.

Original languageEnglish
Pages (from-to)697-715
Number of pages19
JournalInternational Journal of Innovation, Creativity and Change
Volume13
Issue number4
Publication statusPublished - 2020

Keywords

  • Debt maturity
  • Financial constraints
  • Tax avoidance

Fingerprint

Dive into the research topics of 'An analysis of the relationship between tax avoidance and debt maturity with financial constraints as the mediation variable'. Together they form a unique fingerprint.

Cite this