Articles

Tax Aggressiveness in Indonesia: Insights From CSR, Financial Dynamics, and Governance

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This study explores the impact of CSR, leverage, profitability, and independent commissioners on tax aggressiveness in 45 food and beverage companies on the Indonesian Stock Exchange from 2013 to 2017. The analysis, using multiple linear regression in SPSS, revealed that CSR positively influence tax aggressiveness, while independent commissioners have a negative influence. However, neither profitability nor leverage significantly influences tax aggressiveness. We conducted a sensitivity analysis using different proxy variable for dependent variable and found that CSR and independent commissioner remain significant in both the ETR and BTD models for tax aggressiveness. However, the significance of profitability and leverage differed between the two models. In the ETR model, neither profitability nor leverage was significant. In contrast, in the BTD model, profitability was significant, but leverage was not. Our findings reinforce the importance of CSR, profitability, leverage, and independent commissioners in explaining tax aggressiveness. The study provides insight into the need for regulators to reduce tax aggressiveness by companies.

The Role Impact of Corporate Social Responsibility (CSR) In Building Small and Medium Enterprises (SMEs) Brand Image in Ghana

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This study investigates the need for SMEs to practice corporate social responsibility (CSR) in building their brand image in Ghana. The study aims at exploring the role impact of Corporate Social Responsibility (CSR) in building small and medium enterprises (SMEs) brand image in Ghana. Evaluating the role of CSR in building the brand image of SMEs adopted research designs/methods and approached to solicit both secondary and primary data. To identify the perceptions held by SMEs, motives for CSR practices, benefits associated with CSR practices, and the impact of Corporate Social Responsibility on SMEs’ Brand Image, questionnaires and interviews were conducted with SMEs operators and Environmental Protection Agency officials in the Kumasi metropolis. The findings show that SMEs perceived CSR as a means of paying back to society what has been received as profit and also as a means of protecting and improving the quality of the natural environment as well as spending revenue to the state. It was noted that organizations practice Corporate Social Responsibility (CSR) to project the right corporate image, used as a marketing strategy, and to make employees happy and satisfied Benefits from CSR regarding customer loyalty, gaining goodwill from the community, enhanced government relations, and building client relations was also ascertained. Despite the numerous benefits associated with CSR activities, other challenges were also identified as free giveaway products and the high cost of CSR programs. Some suggestions such as the honest provision of accurate information about the SMEs products, organizing programs to suit students, a regular donation to the societies, and total collaboration between SMEs and their communities were made to promote firms’ image through CSR practices.

The Influence of Corporate Social Responsibility (CSR) Disclosure and Sustainability Accounting on Earnings Response Coefficient (ERC)

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The research aimed to analyze the factors which provide earning response coefficient (ERC) received by automotive manufacturing companies listed on the Indonesia Stock Exchange using indicators of corporate social responsibility (CSR) and sustainability accounting from 2013 through 2017. The purposive sampling technique was used to gather data with the criteria, according which 13 companies were obtained as samples, (1) automotive manufacturing companies in 2013 – 2017 listed on the Indonesia Stock Exchange (IDX) (2) automotive manufacturing companies that published the annual reports. Meanwhile, the data were obtained from IDX & published annual reports. The research used a panel data regression panel and data regression model as the analysis technique. The analysis consists of three methods, namely common effect method, fixed-effect and random effect, while the hypothesis testing used t-statistics to test partial regression coefficients and f statistics to test the effect simultaneously at the significance level of 5%. Eventually, the results of the analysis used E-views to show whether: (1) corporate social responsibility (CSR) influences the earnings response coefficient (ERC) and (2) sustainability accounting influences the ERC. The T-test analysis results used E-views to reveal whether CSR and sustainability accounting influence ERC in automotive manufacturing companies listed on the IDX in 2013 – 2017.