The Effect of Profitability, Company Size, Institutional Ownership, and Political Connection on Tax Avoidance

This study aims to clarify the impact of profitability, company size, institutional ownership, and political connection on tax avoidance of manufacturing companies listed on Indonesia Stock Exchange (IDX) from 2019 to 2021. Tax avoidance is expressed in Cash Effective Tax Rate (CETR). The study was conducted using quantitative methods and secondary data. Samples were collected from a total of 73 companies in the manufacturing sector using purposive sampling method and processed with SPSS. The analysis method of this study uses descriptive statistical analysis and multiple linear regression analysis. As a result, profitability affects tax avoidance, company size does not affect tax avoidance, and institutional ownership does not affect tax avoidance, while political connection affects tax avoidance.