scholarly journals DO DIRECTORS AND TAX AGRESSIVENESS AFFECT FRAUDULENT FINANCIAL REPORTING?

2019 ◽  
Vol 9 (3) ◽  
pp. 219-226
Author(s):  
Wiralestari Wiralestari
Keyword(s):  
Financial Reporting ◽  
Stock Exchange ◽  
The State ◽  
Manufacturing Companies ◽  
Fraudulent Financial Reporting ◽  
Financial Contribution ◽  
Tax Aggressiveness ◽  
Direct Benefits ◽  
The Subject ◽  
Regulation Of Law

Tax is an obligatory financial contribution that individuals or institutions, as taxpayers, owe to the state without any direct benefits.  It is compulsory and is collected under the regulation of law.  The present study aims to examine the effectiveness of directors’ supervision and tax aggressiveness in diminishing frauds in financial reporting.  The subject of this study is manufacturing companies listed in Indonesia Stock Exchange.  The results of this study show that, firstly, effective directors’ supervision has significant correlation to diminishing fraudulent financial reporting.  Directors, as the leaders of the company, demonstrated that they could perform their supervisory function very well.  Secondly, tax aggressiveness has significant correlation to diminishing fraudulent financial reporting.

scholarly journals The influence factors of the complementary level of financial and tax aggressiveness in Indonesia

2021 ◽  
Vol 10 (6) ◽  
pp. 213-220
Author(s):  
Salsabila Anggiani Amriza ◽  
Nurul Aisyah Rachmawati
Keyword(s):  
Financial Reporting ◽  
Audit Quality ◽  
Stock Exchange ◽  
Influence Factors ◽  
Binary Logistic Regression ◽  
Financial Constraint ◽  
Manufacturing Companies ◽  
Tax Aggressiveness ◽  
Tax Reporting ◽  
The Relationship

This research focus to investigate the effect of audit quality and financial constraint on the complementary level of financial and tax reporting aggressiveness. This research uses binary logistic regression to investigate the effect of audit quality and financial constraint on the complementary level of financial and tax reporting aggressiveness with a sample of 147 manufacturing companies listed on the Indonesia Stock Exchange (IDX) in 2017-2019. This research found that companies with good audit quality have a complementary level of financial and tax reporting aggressiveness that tends to be below. Also, companies that face financial constraints have a higher complementary level of financial reporting and tax aggressiveness. This study presents empirical evidence that supports the view of audit quality and financial constraint’s impact on the complementary level of financial and tax aggressiveness. Although there are many studies that discuss the relationship between financial and tax aggressiveness, there are still few studies that contribute to examine the determinants of the complementary level of financial and tax reporting aggressiveness in Indonesia.

scholarly journals ANALISIS PENGARUH KEBANGKRUTAN, AUDITOR SPESIALISASI INDUSTRI DAN CORPORATE GOVERNANCE TERHADAP FRAUDULENT FINANCIAL REPORTING

2021 ◽  
Vol 18 (1) ◽  
pp. 27-51
Author(s):  
Lamoza Ressidnarry Lamoza Ressidnarry ◽  
Julianti Sjarief
Keyword(s):  
Corporate Governance ◽  
Financial Reporting ◽  
Audit Committee ◽  
Stock Exchange ◽  
Selection Process ◽  
Sample Selection ◽  
Managerial Ownership ◽  
Manufacturing Companies ◽  
Fraudulent Financial Reporting ◽  
The Difference

Fraudulent financial reporting often occurs in company management. Management who has a cooperation contract with the principal, there are often differences in interests between management and shareholders. The difference in interests makes it possible for management to commit fraud. Therefore, the factors that cause fraudulent financial reporting need to be known. This study aims to examine the effect of bankruptcy, auditors specializing in industry and corporate governance (consisting of managerial ownership, number of audit committee meetings and composition of independent commissioners). The population of this research is manufacturing companies in the consumer goods industry which are listed on the Indonesia Stock Exchange 2015-2018. Based on the purposive sampling method in the sample selection process, 38 companies were obtained as samples. Hypothesis testing is carried out by logistic regression analysis using the SPSS version 21 program. The results of this study are bankruptcy, managerial ownership and the composition of independent commissioners have an effect on fraudulent financial reporting. Meanwhile, auditors specializing in industry and the number of audit committee meetings have no effect on fraudulent financial reporting.

scholarly journals The Effect of CFO Demographics on Fraudulent Financial Reporting

2020 ◽  
Vol 24 (1) ◽  
pp. 21
Author(s):  
Yulia Frischanita, Yustrida Bernawati
Keyword(s):  
Financial Reporting ◽  
Stock Exchange ◽  
Control Variable ◽  
Financial Statements ◽  
Financial Statement ◽  
Manufacturing Companies ◽  
Fraudulent Financial Reporting ◽  
Financial Statement Fraud ◽  
Negative Effect ◽  
Fraudulent Financial Statements

This study aims to examine the effect of CFO demographics on financial statement fraud. The results contribute to companies for increasing CEO and CFO elections and corporate governance designed to prevent illegal actions. The sample in this study was manufacturing companies listed on the Indonesia Stock Exchange in 2016-2018 with 308 data and hypothesis testing using multiple regression analysis techniques. The test results show that the age of the CFO affects the fraudulent financial statements. More mature the CFO engage with fraudulent financial statements. Other results indicate that the level of education, gender and experience of the CFO have no effect on financial statement fraud. The control variable used is ROA which has a positive effect on financial statement fraud. While company size and leverage have a negative effect on financial statement fraud.

scholarly journals Detecting the Likelihood of Fraudulent Financial Reporting: An Analysis of Fraud Diamond

2019 ◽  
Vol 14 (1) ◽  
pp. 43-68
Author(s):  
Reni Yendrawati ◽  
◽  
Huda Aulia ◽  
Hendi Yogi Prabowo ◽  
◽  
...  
Keyword(s):  
Earnings Management ◽  
Financial Reporting ◽  
Financial Stability ◽  
Stock Exchange ◽  
External Pressure ◽  
Financial Statement ◽  
Manufacturing Companies ◽  
Fraudulent Financial Reporting ◽  
Research Findings ◽  
Pressure Factor

This paper aims to analyze the likelihood of fraudulent financial reporting using the fraud diamond analysis. Fraud diamond is a concept explaining factors that cause someone to commit fraud, namely pressure, opportunity, rationalization, and capability. In this research, pressure factor was proxied by using financial stability, external pressure, and financial target. Opportunity factor was proxied by using the nature of industry and effectiveness of monitoring. Rationalization factor was proxied by rationalization and capability was proxied by capability. This research made use of earnings management to discover the likelihood of financial statement frauds. Earnings management was measured by using F-score indicator. The population in this research were manufacturing companies listed on the Indonesian Stock Exchange (IDX) from the year 2014 – 2016. From the population, 31 companies were selected as the research samples by using the purposive sampling method. This quantitative method-using research was analyzed using multiple regression analysis and T-tests for hypotheses testing. The research findings reveal that only the opportunity variable proxied by industrial nature is proven to have an influence in detecting the likelihood of fraudulent financial reporting. In the meantime, other variables have no influence in detecting the likelihood of fraudulent financial reporting. Keywords: fraud diamond, likelihood of fraudulent financial reporting, f-score

scholarly journals Pengaruh Corporate Governance Terhadap Kecurangan Laporan Keuangan

2019 ◽  
Vol 1 (4) ◽  
pp. 1705-1722
Author(s):  
Feby Priswita ◽  
Salma Taqwa
Keyword(s):  
Financial Reporting ◽  
Audit Committee ◽  
Sampling Method ◽  
Annual Report ◽  
Stock Exchange ◽  
Secondary Data ◽  
Institutional Ownership ◽  
Managerial Ownership ◽  
Manufacturing Companies ◽  
Fraudulent Financial Reporting

This study aims to obtain empirical evidence and to analyze the effect of corporate governance’s mechanism such as managerial ownership, board of commissioners, audit committee, and institutional ownership effectiveness on likelihood of fraudulent financial reporting. This study uses secondary data from the company’s annual report for 2015-2017. The sampling method in this study used purposive sampling with a sample of 31 manufacturing companies listed on the Indonesia Stock Exchange in 2015-2017. The analysis used in this study is logistic regression analysis. The result showed that all of corporate governance’s mechanism such as managerial ownership, board of commissioners, audit committee, and institutional ownership have no significant effect on likelihood of fraudulent financial reporting.

scholarly journals FRAUDULENT FINANCIAL REPORTING: A PENTAGON FRAUD ANALYSIS

2019 ◽  
Vol 16 (2) ◽  
pp. 122-134
Author(s):  
Satria tri Nanda ◽  
Neneng Salmiah ◽  
Dina Mulyana
Keyword(s):  
Financial Reporting ◽  
Financial Stability ◽  
Stock Exchange ◽  
Secondary Data ◽  
Financial Statements ◽  
Annual Reports ◽  
Manufacturing Companies ◽  
Fraudulent Financial Reporting ◽  
Financial Reports ◽  
Fraudulent Financial Statements

Financial statements describe the company's financial condition. There are many gaps in the financial reports that enable management to commit fraudulent financial reporting. This study purpose to analyze the pentagon fraud, namely the pressure that is proxied by the financial target, the opportunity that is proxied by the effectiveness of monitoring (ineffective monitoring); Rationalization which is proxied by change in auditor; Competence which is proxied by the change of company directors; and Arrogance which is proxied by the number of CEO images that appear (number of CEO's picture), detects fraudulent financial statements measured using the Altman Z Score. The sample used in this study were 24 pharmaceutical sub-sector manufacturing companies registered on the Indonesia Stock Exchange during the period 2015 until 2017. The type of data used is secondary data obtained from annual reports and company financial statements for the 2015-2017 period. The analysis of the data used is multiple regression using the SPSS version 16. This study found that financial stability and ineffective monitoring influence fraudulent financial statements. Whereas auditor turnover, change of directors and the number of CEO photos that appear do not affect fraudulent financial statements.

scholarly journals Fraud Pentagon and Fraudulent Financial Reporting: Evidence from Manufacturing Companies in Indonesia and Malaysia

2021 ◽  
Vol 22 (3) ◽  
pp. 625-646
Author(s):  
Erni Suryandari Fathmaningrum ◽  
Gupita Anggarani
Keyword(s):  
Financial Reporting ◽  
Financial Stability ◽  
Stock Exchange ◽  
External Pressure ◽  
Manufacturing Companies ◽  
Fraudulent Financial Reporting ◽  
Auditor Change ◽  
External Auditor ◽  
Financial Need

Research aims: This study aims to examine the influence of fraud pentagon concept on fraudulent financial reporting.Design/Methodology/Approach: This study’s population was manufacturingcompanies listed in Indonesia Stock Exchange and Malaysia Stock Exchange. 120 manufacturing companies in Indonesia and 118 manufacturing companies in Malaysia were involved as samples. The data analysis method used in this study is multiple linear regression.Research findings: The results showed that financial target, financial stability, quality of external auditor, external pressure, and nature of industry variables influenced fraudulent financial reporting. In contrast, personal financial need, ineffective monitoring, change in auditor, change in director, and frequent number of CEO’s pictures variables had no effect on fraudulent financial reporting. For Indonesia, it was found that financial target, financial stability, and the quality of external auditor influenced fraudulent financial reporting. While, in Malaysia, the results showed that financial stability, external pressure, and nature of industry variables influenced fraudulent financial reporting in Malaysia.Theoretical contribution/Originality: These results support the financial target and quality of external auditor hypothesis in Indonesia, financial stability hypothesis in Indonesia and Malaysia, external pressure and nature of industry hypotheses in Malaysia, stating that fraud pentagon factors affect fraudulent financial reporting. It is also proved that there are different levels of fraudulent financial reporting in Indonesia and Malaysia. Indonesia has fraudulent financial reporting cases higher than Malaysia.

scholarly journals KARAKTERISTIK PERUSAHAAN, KELENGKAPAN PENGUNGKAPAN LAPORAN KEUANGAN DAN KEMUNGKINAN KECURANGAN PELAPORAN KEUANGAN

2020 ◽  
Vol 8 (1) ◽  
pp. 31
Author(s):  
Husaini Husaini ◽  
Salma Yuniza
Keyword(s):  
Financial Reporting ◽  
Sampling Method ◽  
Stock Exchange ◽  
Financial Statements ◽  
Financial Statement ◽  
Financial Disclosure ◽  
Company Size ◽  
Manufacturing Companies ◽  
Fraudulent Financial Reporting ◽  
Financial Statement Fraud

This research aims to obtain empirical evidence regarding the effect of the characteristics of the company's financial disclosure statements of completeness and consequently to the financial statement fraud. Characteristics of companies in this study consists of company size, leverage, liquidity, the company's corporate status and age.The population in this research is the manufacturing companies listed on the Indonesia stock exchange over the years 2011-2013. Purposive sampling method based on retrieved 98 companies listed on the Indonesia stock exchange as research samples. Research on regression model using two. Using multiple linear regression, the study found the size of the company and the company's status affect the completeness of the disclosure of the financial statements. Leverage, liquidity and the age of the company does not affect the completeness of the disclosure of the financial statements. Then, the sample is categorized into 2 categories by using the Beneish model M-Score that the company that did the possibility of fraudulent financial reporting and company didn't do the possibility of fraudulent financial reporting. Using the method of logistic regression, this research found that the completeness of the pengungakap financial statements have no effect against the possibility of fraud in financial reporting.

scholarly journals Pengaruh Agresivitas Pelaporan Keuangan terhadap Agresivitas Pajak dengan Mekanisme Good Corporate Governance sebagai Pemoderasi

2020 ◽  
Vol 8 (2) ◽  
pp. 157-166
Author(s):  
Mahasani Puspitarani Krismonika ◽  
Nilda Tartila
Keyword(s):  
Corporate Governance ◽  
Multiple Regression ◽  
Financial Reporting ◽  
Stock Exchange ◽  
Hypothesis Test ◽  
Annual Reports ◽  
Manufacturing Companies ◽  
Tax Aggressiveness ◽  
Good Corporate Governance ◽  
Trade Offs

Companies are currently involved in various forms of tax planning to reduce the estimated tax liability. On the other hand, aggressive tax actions are bad for the companies because it requires them  to report lower profits.  Frank et al (2009) found there was a tendency that companies were able to report greater profits and have a low tax burden simultaneously. Thus,  it can be said that trade-offs don't always occur. This study aims to assess the influence of the aggressiveness of financial reporting on tax aggressiveness in manufacturing companies from 2015-2018 by using the mechanism of Good Corporate Governance as a moderating variable.   The data used in this study are secondary data obtained from the financial statements and annual reports of manufacturing companies from the Indonesia Stock Exchange. The population of this research is 27 manufacturing companies listed on the Indonesia Stock Exchange. Selection of the sample was done using the purposive sampling method. The analytical method used in this research is multiple regression or multiple regression with the SPSS version 25 computer program.  Hypothesis test was performed using multiple regression methods and MRA (Moderated Regression Analysis).             The results of this study indicate that the aggressiveness of financial reporting on manufacturing companies simultaneously has a significant positive effect on tax aggressiveness with a significance value of 0.003. The mechanism of Good Corporate Governance with indicators of Institutional Ownership and Managerial Ownership simultaneously has a significant negative effect on tax aggressiveness with a significance value of 0.001 and 0.007. As well as the mechanism of Good Corporate Governance, it is stated that it can weaken the effect of the aggressiveness of financial reporting on tax aggressiveness. Key words : Financial Reporting Agressiveness, Tax Aggressiveness, and Good Corporate Governance

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