BAKI (Berkala Akuntansi dan Keuangan Indonesia)
Vol. 11 No. 1 (2026): Berkala Akuntansi dan Keuangan Indonesia

THE ROLE OF TAX STRATEGY IN ACHIEVING CORPORATE SUSTAINABILITY: EMPIRICAL EVIDENCE FROM INDONESIAN PUBLIC COMPANIES

Ranatarisza, Mirza Maulinarhadi (Unknown)
Alfianida, Aisyafarras (Unknown)



Article Info

Publish Date
17 Mar 2026

Abstract

This study examines how corporate tax strategies influence financial performance among publicly listed companies in Indonesia. Two distinct dimensions of tax strategy are investigated. The first is Minimalization Tax Strategies, which focus on short-term tax burden reduction. The second is Sustainable Tax Strategies, which emphasize consistency in tax planning over time as a means of supporting long-term business sustainability. The analysis incorporates profit margin, firm solvency, and stock valuation as control variables to isolate the effects of tax strategies on financial outcomes. Employing a quantitative approach, the study draws on data from companies listed on the Indonesia Stock Exchange. The findings reveal that Sustainable Tax Strategies exert a positive and significant effect on financial performance. Minimalization Tax Strategies, by contrast, demonstrate no significant impact on financial performance despite their potential to enhance short-term profitability. This outcome likely reflects the risks that aggressive tax reduction poses to business continuity over time. These results contribute to the theoretical discourse on financial sustainability and agency theory. From a practical standpoint, the findings offer insights for corporate managers and regulators who seek to align tax planning practices with broader sustainability objectives.

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Journal Info

Abbrev

BAKI

Publisher

Subject

Humanities Economics, Econometrics & Finance Education Social Sciences

Description

Berkala Akuntansi dan Keuangan Indonesia (BAKI) adalah jurnal ilmiah di bidang akuntansi dan keuangan yang diterbitkan oleh Universitas Airlangga bekerjasama dengan Ikatan Akuntan Indonesia Kompartemen Akuntansi Pendidik (IAI-KAPd). BAKI terbit setiap Maret dan September sebagai media untuk ...