Transfer Pricing and Its Relationship with Effective Tax Rate, Profitability, and Foreign Ownership

Runy Rusdyantinah Indrawaty, Asri Usman, Alimuddin Alimuddin

Abstract


This study aims to investigate the influence of effective tax rate and profitability on transfer pricing moderated by foreign ownership of consumer non-cyclical enterprises listed on the Indonesia Stock Exchange. Transfer pricing has become an intriguing subject due to firms' desire to reduce tax expenses to generate higher profits. The hypothesis was tested using Moderated Regression Analysis (MRA), which found that the effective tax rate has no significant effect on transfer pricing, however, profitability influences companies' decision to perform transfer pricing. It has been proved that foreign ownership has a moderating effect on the effective tax rate, profitability, and the transfer pricing interaction.

Keywords


Effective Tax Rate; Foreign Ownership; Profitability; Transfer Pricing

Full Text:

PDF

References


Adilah, N., Abbas, D. S., Hidayat, I., & Rohmansyah, B. (2022). Pengaruh Kepemilikan Asing, Ukuran Perusahaan, Leverage, dan Beban Pajak Terhadap Transfer Pricing. Jurnal Riset Ilmu Akuntansi, 1(4), 179–201.

Agustina, N. A. (2019). Pengaruh Pajak, Multinasionalitas, Ukuran Perusahaan, Profitabilitas, dan Mekanisme Bonus terhadap Keputusan Perusahaan Melakukan Transfer Pricing. Seminar Nasional Mahasiswa Universitas Islam Sultan Agung, 53–66. https://jurnal.unissula.ac.id/index.php/kimue/article/view/7914/3585

Apriani, N., Putri, T. E., & Umiyati, I. (2020). The Effect of Tax Avoidation, Exchange Rate, Profitability, Leverage, Tunneling Incentive and Intangible Assets on the Decision to Transfer Pricing. Journal of Accounting for Sustainable Society (JASS), 2(2), 14–27.

Baron, R. M., & Kenny, D. A. (1986). The Moderator-Mediator Variable Distinction in Social Psychological Research: Conceptual, Strategic, and Statistical Considerations. Journal of Personality and Social Psychology, 51(6), 1173–1182.

Blocher, E. J., Stout, D. E., & Cokins, G. (2010). Cost Management : A Strategic Emphasis: Vol. Fifth Edition.

Devore, J., Farnum, N., & Doi, J. (2014). Applied Statistics for Engineers and Scientists: Vol. Third Edition (Third). Cengage Learning.

Fadillah, A. N., & Lingga, I. S. (2021). Pengaruh Transfer Pricing, Koneksi Politik, dan Likuiditas Terhadap Agresivitas Pajak (Survey Terhadap Perusahaan Pertambangan yang Terdaftar di BEI Tahun 2016-2019). Jurnal Akuntansi, 13(2), 332–343.

Fitri, D., Hidayat, N., & Arsono, T. (2019). The Effect of Tax Management, Bonus Mechanism and Foreign Ownership on Transfer Pricing Decision. Riset: Jurnal Aplikasi Ekonomi, Akuntansi Dan Bisnis, 1(1), 35–48. https://doi.org/10.35212/277624

Ghozali, I. (2018). Aplikasi Analisis Multivariate Dengan Program IBM SPSS 25: Vol. Edisi 9 (Edisi 9). Badan Penerbit Universitas Diponegoro.

Hanifah, N., Herrhyanto, N., & Agustina, F. (2015). PENERAPAN METODE WEIGTHED LEAST SQUARE UNTUK MENGATASI HETEROSKEDASTISITAS PADA ANALISIS REGRESI LINEAR. EurekaMatika, 3(1), 105–114.

Hasibuan, A. N., Harisman, H., & Samad, A. W. (2022). Pengaruh Pajak, Tingkat Kepemilikan Asing, Rencana Bonus, dan Perjanjian terhadap Keputusan Harga Transfer. Jurnal Akuntansi, Keuangan, Pajak, Dan Informasi (JAKPI), 2(1), 76–88.

Lestari, D. M., Dewi, E. Y., & Surachman, S. (2021). Pajak Perusahaan dan Exchange Rate terhadap Transfer Pricing pada Perusahaan Kimia. Jurnal Valuasi: Jurnal Ilmiah Ilmu Manajemen Dan Kewirausahaan, 1(1), 58–72.

Lingga, I. S. (2012). Aspek Perpajakan Dalam Transfer Pricing dan Problematika Praktik Penghindaran Pajak (Tax Avoidance). Jurnal Zenit, 1(3), 210–221.

Marliana, D., Prihatni, R., & Muliasari, I. (2022). Pengaruh Pajak, Kepemilikan Asing, dan Ukuran Perusahaan terhadap Transfer Pricing. Jurnal Akuntansi, Perpajakan Dan Auditing, 3(2), 316–327.

Rifqiyati, R., Masripah, M., & Munasiron Miftah. (2021). Pengaruh Pajak, Multinasionalitas, dan Tunneling Incentive terhadap Keputusan Transfer Pricing (The Effect of Taxes, Multinationality, and Tunneling Incentive on the Decision to Transfer Pricing). Jurnal Akuntansi, Keuangan, Dan Manajemen, 2(3), 167–178.

Rustian, N. R., & Syafri, S. (2023). Pengaruh Ukuran Perusahan, Leverage,Kepemilikan Asing Dan Profitabilitas Terhadap Transfer Pricing Pada Perusahaan Sektor Oil, Gas & Coal Yang Terdaftar Di Bursa Efek Indonesia (BEI). Akuntansi: Jurnal Riset Ilmu Akuntansi, 2(3), 268–283. https://doi.org/10.55606/akuntansi.v2i3.344

Setijaningsih, H. T. (2012). Akuntansi Positif dan Konsekuensi Ekonomi. Jurnal Akuntansi, XVI(03), 427–438.

Setyorini, F., & Nurhayati, I. (2022). PENGARUH PAJAK (ETR), TUNNELING INCENTIVE (TNC), MEKANISME BONUS (ITRENDLB) DAN FIRM SIZE (SIZE) TERHADAP KEPUTUSAN TRANSFER PRICING (Pada Perusahaan Manufaktur yang terdaftar di BEI periode 2017-2020). Jurnal Ilmiah Mahasiswa Akuntansi, 13(1), 233–242.

Simorangkir, Y. N. L., Subroto, B., & Andayani, W. (2018). Pengaruh Corporate Social Responsibility dan Komisaris Independen terhadap Agresivitas Pajak. Jurnal Manajemen Dan Kewirausahaan, 6(2), 225–239. https://doi.org/10.26905/jmdk.v6i2.2277

Sintiana, S., & Purnomo, L. I. (2023). Determinan Perusahaan Melakukan Transfer Pricing Dengan Dimoderasi Ukuran Perusahaan (Perusahaan Energy 2017-2021). Jurnal Ekonomi, Manajemen Dan Akuntansi, 2(4), 252–268.

Wahyudi, D. E., T, S., & Rusydi, M. K. (2021). Determinants of Transfer Pricing Aggressiveness with the Moderation of Corporate Governance in Indonesia and Malaysia. Journal of Economics, Business, & Accountancy Ventura, 24(1), 23–33. https://doi.org/10.14414/jebav.v24i1.2536

Watts, R. L., & Zimmerman, J. L. (1978). Towards a Positive Theory of the Determination of Accounting Standards. Source: The Accounting Review, 53(1), 112–134.

Wiharja, J. A., & Sutandi, S. (2023). Pengaruh Effective Tax Rate, Tunneling Incentive dan Debt Covenant terhadap Transfer Pricing (Studi Empiris Perusahaan IDX 30 yang Terdaftar di Bursa Efek Indonesia Tahun 2017-2021). ECo-Buss, 6(1), 193–205.

Yumna, Z., Sumiati, A., & Susanti, S. (2021). Pengaruh Effective Tax Rate (ETR), Exchange Rate, dan Tunneling Incentive Terhadap Transfer Pricing. Jurnal Bisnis, Manajemen, Dan Keuangan, 2(1), 132–149.




DOI: http://dx.doi.org/10.26487/hebr.v7i2.5133

Refbacks

  • There are currently no refbacks.


Copyright (c) 2023 Runy Rusdyantinah Indrawaty

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

______________________________________________________________________

Hasanuddin Economics and Business Review (ISSN Print: 2549-3221 | ISSN Online: 2549-323X ) is licensed under a Creative Commons Attribution 4.0 International License. Preserved in LOCKSS, based at Stanford University Libraries, United Kingdom, through PKP Private LOCKSS Network program.

 

Indexing and Abstracting: