ABSTRACT

The purpose of this study was to analyze the behavior of tax evasion before and after the application of International Financial Reporting Standards (IFRS). The population in this research is manufacturing companies listed in Indonesia Stock Exchange (BEI) in 2007 and 2012. Selected in 2007 as a sample prior to the IFRS and the 2012 samples after the IFRS. The sampling technique used is purposive sampling and obtained 70 samples from the company. The analytical tool used is Paired Sample Test. Tax evasion (tax avoidance) in this study proxied using four measurements IE Cash effective Tax Rate (CETR), Books Tax Gap (BTG), General accepted Accounting Principle effective Tax Rate (GAAP ETR), Current effective Tax Rate (Current ETR). Before analyzed, then tested for normality for each - each a proxy measurement of the resulting 45 samples for measurement CETR, 35 samples for the measurement of BTG, 56 samples for measurement GAAP ETR, and 58 samples for measurements Current ETR. The results show that there are differences in tax avoidance behavior before and after the International Financial Reporting Standard (IFRS). Tax avoidance is proxied by Cash ETR, ETR and Current GAAP ETR showed that after the IFRS tax avoidance behavior is increasing. As for BTG, the results show that the Tax Avoidance behavior has decreased.

Key Word: Tax Avoidance, International Financial Reporting Standard (IFRS),