The Effect of Financial Distress, Transfer Pricing and Profitability on Tax Avoidance in Mining Companies Listed on the Indonesia Stock Exchange in 2020-2024

This study reevaluates whether financial distress, transfer-pricing activities, and profitability play a role in shaping tax-avoidance behavior among mining firms listed on the Indonesia Stock Exchange (IDX) throughout 2020-2024.A quantitative approach was applied, drawing on secondary data sourced from audited annual reports available on the IDX's official portal.Through purposive sampling, seven companies met the selection criteria and were included in the analysis.Panel-data regression techniques were employed using the EViews 12 software package.The findings indicate that transfer-pricing practices exhibit a positive and statistically significant association with tax avoidance.Conversely, neither financial distress nor profitability shows meaningful explanatory power in predicting tax-avoidance decisions.Overall, the results imply that mining firms tend to utilize related-party pricing mechanisms to reduce tax liabilities, while financial pressure and earnings performance do not serve as primary drivers of tax-avoidance strategies.