ANALISIS PENGARUH TAX AVOIDANCE TERHADAP COST OF DEBT PADA PERUSAHAAN MANUFAKTUR YANG TERDAFTAR DI BEI SELAMA PERIODE 2010–2014

Abstract

Cost of debt borne by the company set by creditors based on how management
manages the company. Effective and efficient management related to the way the
management to increase revenue and suppress the load to obtain the maximum profit. One
of the expense to be managed is the tax expense. Tax savings that they comply with the provisions of taxation known as tax avoidance. This study aims to reexamine the influence
of tax avoidance on the cost of debt on companies listed in the Indonesia Stock Exchange
(BEI) in the period 2010-2014.

This study uses financial statements of companies listed on the Stock Exchange
during the period 2010-2014. Samples were selected using purposive sampling method
and obtained a sample of 49 companies with five years observation period, and the total
observed data is of 245 data. Hypothesis testing is done by a simple linear regression.

Based on the analysis, the result that tax avoidance positive effect on the cost of debt
on companies listed in the Indonesia Stock Exchange (BEI) in the period 2010-2014.
Creditors consider tax avoidance as practices that involve risks thereby increasing the cost
of debt.

Keywords: tax expense, cost of debt, tax avoidance, creditors, tax savings, manufacturing
companies listed on the Stock Exchange.