The relationship between corporate social responsibility and tax aggressiveness: An Indonesian study

The study aims to analyse the relationship between the dimension of corporate social responsibility as a whole and each dimension of 'tax aggressiveness'. The Corporate Social Responsibility (CSR) disclosure was measured using the index of Global Reporting Initiatives (GRI) version 4 and ISO 26000:2010 Clauses. We used non-financial listed firms in the Indonesia Stock Exchange (IDX) for the period 2015 to 2017, amounting to 304 firm-years observations as a research sample. The analytical techniques used are ordinary least square regression with SPSS software version 21. The results showed that the CSR as a whole had a relationship to tax aggressiveness. This research also showed that the dimensions of the CSR, namely the general dimensions and social dimensions, have a relationship to tax aggressiveness, while for economic dimension and environmental dimension have no relationship to aggressive tax. This research can be used for governments and policymakers to consider and maximize state tax acceptance by monitoring the firms' CSR disclosure practices.