THE INFLUENCE OF CORPORATE SOCIAL RESPONSIBILITY DISCLOSURE AND CORPORATE GOVERNANCE TOWARD TAX AVOIDANCE ON MINING COMPANY LISTED IN INDONESIA STOCK EXCHANGE FOR YEAR 2012 2014

Abstract

Mining Industry is one of the main leading industry in Indonesia. Since Indonesia become famous by its natural resources, it supports the mining industry to develop rapidly. Many new companies of mining industry are listed in Indonesia Stock Exchange and it proves the existence of this industry and development of this industry is running well in Indonesia. In running their business, mining company may cause environmental destruction that is why the company are obligate to do their social responsibility and disclosed the activities related to their social responsibility. The social responsibility and tax are seen by the company as the main burden in running their business. The control of central coordinator which is called as Board of Commissioner will supervise the company performance especially in doing their social responsibility and paying their tax liability. This research objective is to analyze the influence of Corporate Social Responsibility disclosure and Corporate Governance toward Tax Avoidance. This research uses multiple linear regression technique and Mining Companies listed in Indonesia Stock Exchange as the samples. The research period for analysis is during 2012 to 2014. The samples which are taken by purposive sampling, are limited to (1) Mining companies that are listed in Indonesia Stock Exchange for the year 2012 to 2014. (2) Companies that issued annual report and audited Financial Statement for the year ended in December 31, 2012 until December 31, 2014. (3) Companies that have not experience loss for the period 2012 to 2014.Based on the classical assumption tests the data are valid to be used for further hypothesis test. Based on the result of hypothesis test, independent variables are simultaneously giving influence toward the Tax Avoidance as the dependent variable. Partially Corporate Social Responsibility disclosure and Corporate Governance are giving significant influence toward Tax Avoidance.