Thin Capitalization and Transfer Pricing on Tax Avoidance: The Moderating of Firm Size

ABSTRACT : Tax avoidance remains a phenomenon in taxation research. This study’s purpose is to find out about the effects of thin capitalization and transfer pricing on tax avoidance, also using a moderating factor, which is company size. This research is a quantitative study of mining companies that are on the Indonesia Stock Exchange list during 2018–2022. Using purposive sampling, 115 data points were obtained. Data processing in this study implemented EViews 13. The regression analysis implemented for this study was panel data regression with a Moderated Regression Analysis (MRA) model. The study’s results reveal that thin capitalization affects tax avoidance, transfer pricing shows no effect on tax avoidance, company size moderates thin capitalization’s effect on tax avoidance, and company size does not moderate transfer pricing’s effect on tax avoidance.