Association of tax haven and corporate tax avoidance: does political connection matter?

This study specifically examines the association between tax haven and corporate tax avoidance, along with the role of political connection in the association. We use two types of corporate tax avoidance measurements to capture corporate tax avoidance as a whole and the specific profit-shifting sch...

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Main Authors: Kurniasih, Lulus, Yusri, Yusniyati, Syekh Hassan, Ahmad Fahmi
Format: Article
Published: Universiti Putra Malaysia 2022
Online Access:http://psasir.upm.edu.my/id/eprint/103470/
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author Kurniasih, Lulus
Yusri, Yusniyati
Syekh Hassan, Ahmad Fahmi
author_facet Kurniasih, Lulus
Yusri, Yusniyati
Syekh Hassan, Ahmad Fahmi
author_sort Kurniasih, Lulus
building UPM Institutional Repository
collection Online Access
description This study specifically examines the association between tax haven and corporate tax avoidance, along with the role of political connection in the association. We use two types of corporate tax avoidance measurements to capture corporate tax avoidance as a whole and the specific profit-shifting scheme. Based on the data of Indonesian multinational companies (MNC) over the 2010–2019 period, we find that MNC with tax haven affiliation is positively associated with corporate tax avoidance. Moreover, our result indicates that political connection significantly moderates the association of tax haven affiliation and corporate tax avoidance.
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institution Universiti Putra Malaysia
institution_category Local University
last_indexed 2025-11-15T13:42:16Z
publishDate 2022
publisher Universiti Putra Malaysia
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spelling upm-1034702023-06-07T06:24:37Z http://psasir.upm.edu.my/id/eprint/103470/ Association of tax haven and corporate tax avoidance: does political connection matter? Kurniasih, Lulus Yusri, Yusniyati Syekh Hassan, Ahmad Fahmi This study specifically examines the association between tax haven and corporate tax avoidance, along with the role of political connection in the association. We use two types of corporate tax avoidance measurements to capture corporate tax avoidance as a whole and the specific profit-shifting scheme. Based on the data of Indonesian multinational companies (MNC) over the 2010–2019 period, we find that MNC with tax haven affiliation is positively associated with corporate tax avoidance. Moreover, our result indicates that political connection significantly moderates the association of tax haven affiliation and corporate tax avoidance. Universiti Putra Malaysia 2022 Article PeerReviewed Kurniasih, Lulus and Yusri, Yusniyati and Syekh Hassan, Ahmad Fahmi (2022) Association of tax haven and corporate tax avoidance: does political connection matter? International Journal of Economics and Management, 16 (spec.1). pp. 1-13. ISSN 1823-836X; ESSN: 2600-9390 http://www.ijem.upm.edu.my/vol16noS1 10.47836/ijeamsi.16.1.001
spellingShingle Kurniasih, Lulus
Yusri, Yusniyati
Syekh Hassan, Ahmad Fahmi
Association of tax haven and corporate tax avoidance: does political connection matter?
title Association of tax haven and corporate tax avoidance: does political connection matter?
title_full Association of tax haven and corporate tax avoidance: does political connection matter?
title_fullStr Association of tax haven and corporate tax avoidance: does political connection matter?
title_full_unstemmed Association of tax haven and corporate tax avoidance: does political connection matter?
title_short Association of tax haven and corporate tax avoidance: does political connection matter?
title_sort association of tax haven and corporate tax avoidance: does political connection matter?
url http://psasir.upm.edu.my/id/eprint/103470/
http://psasir.upm.edu.my/id/eprint/103470/
http://psasir.upm.edu.my/id/eprint/103470/