Analysis of the Influence of Tax Burden and Profitability on CSR Disclosure with Good Corporate Governance Mediation
DOI:
https://doi.org/10.58192/wawasan.v4i4.5048Keywords:
Corporate Social Responsibility, Fixed Effect Model, Good Corporate Governance, Panel Data Regression, Return on Assets, Tax BurdenAbstract
The purpose and objective of this study is to analyze the effect of tax burden and company profitability, measured by return on assets (ROA), on corporate social responsibility (CSR disclosure), and to examine the role of good corporate governance (GCG) as a mediating variable in construction and property companies listed on the Indonesia Stock Exchange from 2020 to 2024. This study uses a quantitative method with panel data analyzed using panel data regression. The model selection was conducted through the Chow test, the Lagrange multiplier (LM) test, and the Hausman test, which showed that the fixed effect model (FEM) was the most appropriate model. To overcome the problem of heteroscedasticity, the estimation was performed using clustered robust standard error. The mediation analysis was performed using the Sobel test and the bootstrap method with 5,000 replications. The results show that tax burden and profitability (ROA) have a negative and significant effect on CSR disclosure. This indicates that the higher the tax burden and profitability of a company, the lower the level of CSR disclosure tends to be. Meanwhile, good corporate governance does not have a significant effect on CSR disclosure. The results of mediation tests, both through the Sobel test and bootstrap, show that GCG does not act as a mediating variable in the relationship between tax burden and profitability on CSR disclosure. These results indicate that in the construction and property sector during the research period, CSR disclosure is more directly influenced by tax burden and profitability factors than by corporate governance mechanisms as mediating variables.
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