This study examines the investment efficiency of firms engaging in tax avoidance in Indonesia. We test 2064 firm-year observations of Indonesian listed firms from 2010–2019 and document a positive relationship between tax avoidance and investment efficiency. This study also considers a unique setting of Indonesia as one of the few developing countries that implement tax amnesty. Thus, we test the variables in the period of prime tax amnesty implementation in Indonesia. We document significant results only in the firms that did not participate in tax amnesty during the implementation period. Nevertheless, the results are consistent in several alternative measurements and robust to the Propensity Score Matching regression to handle potential endogeneity. In addition, we discover that the investment efficiency of tax avoidance is salient in both firms prone to underinvestment and overinvestment. These findings extend the literature on tax avoidance and corporate investment. Based on the results, tax authorities should be stricter in handling tax avoidance practices because this practice has a cost-benefit trade-off that allows firms to obtain benefits at the expense of the state’s income if not managed properly.

This study examines the relationship between ex-auditor CEOs in companies and corporate social responsibility disclosure in the Indonesian setting, where the presence of ex-auditor CEOs is increasing every year. We use the sample of 581 firm-year observations from 106 firms that published sustainability reports on the Indonesian Stock Exchange from 2010–2020. The results show that CEOs with an auditor background are more likely to disclose CSR information. This suggests that the auditor background of the CEO can affect corporate decision making, specifically the decision of CSR disclosure, because their auditing experience is also related to a monitoring mechanism of voluntary information, such as CSR disclosure. Moreover, auditors are practically accustomed to being required to have professional judgment when carrying out their work, so they are more aware and careful in terms of running a sustainable business by disclosing the CSR. This study enhances the literature by providing insights into the disclosure practice of CSR among firms with ex-auditor CEOs that are robust to Heckman’s two-stage model and the Coarsened Exact Matching test. This study provides empirical evidence of a relationship between ex-auditor CEOs and CSR information disclosure and several additional analyses in the period of a voluntary sustainability report in Indonesia.

Public scandals involving accountants are an ethical dilemma in the accounting profession. This study aims to determine the perception and awareness of accounting students associated with the ethical crisis. Furthermore, this study examines the moderating effect of religiosity on love of money, gender and ethical perceptions. Using 118 accounting extension students as the sample, the data analysis techniques used is PLS. This study reveals that love of money has no significant influence on ethical perception while gender has. Religiosity is also proven to have a moderating effect on the relationship between gender and ethical perception, while it is not on love of money.

Purpose: This study analyzes the relationship between CEO facial masculinity and the readability of management discussion and analysis reports (MDA). Furthermore, this study examines the interaction between CEO busyness and age in this relationship.Method: Cluster regression with fixed effects was used to examine 1,569 firm-years of non-financial firms listed on the Indonesia Stock Exchange from 2010-2019.Findings: The results show that firms led by masculine-faced CEOs proved to be statistically significant in increasing the readability of MDA reports, making it easier for them to read and understand. However, our findings also show that CEO busyness and age weaken the relationship between CEO facial masculinity and the readability of MDA reports. Novelty: This study is the first to examine the relationship between CEO facial masculinity and MDA readability. This study has implications for corporate management and regulators.

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