THE EFFECT OF ENVIRONMENTAL, SOCIAL, AND GOVERNANCE (ESG) AND THIN CAPITALIZATION ON TAX AVOIDANCE

This research aims to determine and prove the effect of Environmental, Social, And Governance (ESG) and Thin Capitalization on Tax avoidance in companies listed in the Kompas 100 stock market index consecutively during the period 2019 to 2023. The sample used in this research was 6 companies listed on the Kompas 100 stock market index for the period 2019 to 2023 using purposive sampling technique. The data used in this research is secondary data in the form of financial reports from each company that has been sampled. The variables used in this research are Environmental Social And Governance (X1), Thin Capitalization (X2), and Tax avoidance (Y). Analysis of the results of this study using the help of Eviews 12 Student Version Lite software by analyzing descriptive statistics, model estimation tests, classical assumption tests, panel data regression analysis, T statistical tests, F statistical tests, and determination coefficient tests.. The results showed that partially Environmental Social And Governance has no effect on Tax Avoidance and Thin Capitalization affects Tax Avoidance. As for together (simultaneously) Environmental, Social And Governance and Thin Capitalization affect Tax Avoidance.