Giriati Giriati

Transfer pricing practices remain a challenge for tax authorities in various countries because they can be used to reduce tax payments. This study aims to explore the impact of ownership structure on transfer pricing practices, focusing on how board experience and executive characteristics act as moderating factors. Additionally, the study considers three control variables: company size, debt to equity ratio, and ROE. The analysis encompasses all publicly listed companies on the Indonesia Stock Exchange, utilizing panel data analysis and moderated regression techniques. The dataset comprises 2,480 entries from 310 companies over an eight-year span from 2015 to 2022. The findings indicate that concentrated ownership positively influences transfer pricing, whereas managerial ownership exerts a negative influence. Meanwhile, foreign, institutional, and family ownership show no significant impact on transfer pricing activities. The experience of the board of directors only moderates the effect of ownership concentration on transfer pricing, with no other significant moderating effects observed. In contrast, executive characteristics successfully moderate the impact of foreign ownership, managerial ownership, and ownership concentration on transfer pricing but not institutional or family ownership.