Aims: This research seeks to analyze the influence of Fixed Asset Intensity, Thin Capitalization, and Transfer Pricing on the implementation of Tax Avoidance strategies. Study Design: This research employs a quantitative causality approach using secondary data sourced from the annual reports. Place and Duration of Study: Consumer Non-Cyclicals sector companies listed on the Indonesia Stock Exchange (IDX) during the period 2019–2023. Methodology: This study utilizes multiple linear regression analysis, conducted with the help of SPSS version 25. The research population includes all 126 companies in the consumer non-cyclicals sector. A purposive sampling method was applied, yielding a sample of 27 companies that met the predetermined criteria. Over a five-year observation period, a total of 135 data points were analyzed. Results: The findings of this study show that Fixed Asset Intensity significantly influences Tax Avoidance, while Thin Capitalization does not have any impact. Additionally, Transfer Pricing is found to have a significant effect on Tax Avoidance. Conclusion: The findings of this research may be used as a reference in tax planning efforts to promote adherence to existing regulations and prevent potential long-term reputational risks for the company. Moreover, it is suggested that future studies explore additional variables relevant to tax avoidance beyond the three independent factors examined in this study.
Arditra et al. (2025) studied this question.