Improving Mining Company Performance by Providing Tax Incentives

ABSTRACT : The performance of mining companies today is not only measured financially, but also by their ability to adapt to the global energy transition. RE has become a crucial solution for countries to reduce dependence on fossil fuels while minimizing environmental impacts. This study examines the impact of tax incentives on company performance in the Indonesian mining sector. Using data from 37 mining companies listed on the Indonesia Stock Exchange (IDX) for the period 2014–2023, this study found that tax incentives have a significant positive effect on company performance, as measured by Return on Assets (ROA). These results support the Stakeholder and Resource-Based View theories, which emphasize the importance of tax incentives in increasing operational efficiency and company value. The implications of this study are beneficial for company management in making investment decisions and the government in designing effective tax incentive policies.