Institutional and Managerial Pressure on Tax Avoidance Decisions: Moderated by Director Experience

Research Aims: The purpose of this study is to investigate the role of distinct ownership structures and the experience of company directors in leading to the avoidance of taxes by businesses. Design/methodology/approach: Information was collected from 114 companies and then analysed using panel data analysis. Research Findings: The results showed that when institutions own a company, they are less likely to avoid taxes. This suggests that institutions have a role in encouraging tax compliance as supervisors. On the other hand, managers who own a lot of shares are more likely to avoid tax, which shows that they are trying to avoid paying as much tax as possible. However, the experience of directors, particularly those with backgrounds in accounting and finance, exerts a minimal influence on the relationship between ownership and tax avoidance. Research limitation and implication: These findings are important for how companies are run and tax policy. They also mean we need to do more research to understand how these things affect tax avoidance.