ANALISIS PERBANDINGAN KEMAMPUAN DISCRETIONARY ACCRUALS DAN BOOK TAX DIFFERENCES DALAM MENDETEKSI MANAJEMEN LABA SEBELUM DAN SESUDAH PENERAPAN UU NO. 36 TAHUN 2008
Abstract
The change of corporate income tax rate based on UU No. 36 Tahun 2008 can motivate the companies to conduct earnings management. Detecting earnings management using discretionary accruals method is vulnerable to errors in the classification of discretionary accruals and non discretionary accruals, so this study also using another method to detecting earning management in the change of corporate income tax rate phenomenon by book tax differences method. This study aims to examine whether the differences in discretionary accruals between before and after the corporate tax rate reduction as a management response to earnings management on trading companies. In addition to examine whether deferred tax expense can be used to detect earnings management in response to corporate tax rate reduction on trading companies. The method of analysis in this study using paired samples T test for discretionary accruals method and logistic regression for book tax differences method. The results found the significant differences in discretionary accruals between before and after corporate tax rate reduction as a management response to earnings management on trading companies, but deferred tax expense could not be used to detect earnings management in response to corporate tax rate reduction on trading companies because this method could not be used in detecting earnings management by taxation motivation. Companies tend to defer recognition of income for the period when the tax rate is lower. This result indirectly support the result of first hypothesis which prove that the discretionary accruals before is lower than discretionary accruals after.