摘要：Purpose: This study examines the role of shareholders and independent commissioners in influencing firm tax planning strategies. Shareholders and management are concerned with tax planning. Shareholders are more focused on cash availability as it relates to cash dividends and investments. Management hopes incentives calculated from the net profit-related expenses. This paper analyzes the relationship between shareholders and tax planning, so this paper measures tax planning with tax payments, namely the Cash Effective Tax Rate (CashETR). Design/methodology/approach: Shareholders are divided into domestic institutional shareholders and foreign shareholders. Independent commissioners are distinguished by the number and percentage of independent commissioners. This article uses regression analysis from panel data of manufacturing companies listed on Bursa Effek Indonesia (IDX) for 2014 to 2017. CashETR is a ratio of tax payments and profits before tax based on generally accepted accounting principle (GAAP). Findings: This paper finds that the foreign shareholders and the percentage of independent commissioners have a positive relationship to CashETR. The domestic institutional shareholders with ownership of more than 32.09% and the independent commissioners of at least 3 people have a positive relationship to CashETR. This positive relationship can reduce aggressive tax planning. By using mean value of the data, the independent commissioners have more dominant role to reduce aggressive tax planning than that of the shareholders. Research limitations/implication: The sample of manufacturing companies is a limitation. Different types of businesses will have different results, because there are different tax regulations for certain types of businesses, such as construction businesses. Practical implications: The method in this paper can be used to estimate whether a group of firms is implementing aggressive tax planning and the role of shareholders and independent commissioners to the tax planning strategy. Originality/value: The greater the number of shareholders and independent commissioners, the more positive the effect on CashETR. Independent commissioners are representatives of minority shareholders in public companies. The role of independent commissioners is more dominant than shareholders in influencing CashETR. The method in this paper can be used in various companies with different types of business.
