国際会計研究ジャーナル

概要

Critical Assessment of Prevention Policy Implementation of TAX Avoidance Practices Reviewed from the Accounting Perspective: A Study on Mining Companies in Indonesia

David Luntungan

The mining industry is one of the industrial sectors which are indicated to have carried out tax avoidance. Although it does not violate tax regulations, this has the potential to make the government unable to obtain taxes optimally from the mining industry. Therefore, the government strives to establish and implement various regulations to prevent tax avoidance conducted by the mining companies.
The objectives of this study are to:

• Review and describe the effectiveness of Indonesian government regulations and legislation related to prevention of tax avoidance practices in mining companies in Indonesia; and
• Reviewing and describing the compatibility between regulations and legislation with the provisions of taxation in Indonesia.

The research method used is descriptive qualitative. The research data was obtained using the documentation method and processed with the qualitative analysis techniques of Miles and Huberman which consisted of three stages of analysis, namely data reduction, data presentation, and conclusion drawing.

The results of the study state that:

• Regulations and legislation established and implemented by the Indonesian government to prevent tax avoidance in general are appropriate. However, these regulations and legislation have not been effectively used to overcome tax avoidance by mining companies; and
• Regulations and legislation to prevent tax avoidance have met the provisions of taxation in Indonesia.