This study shows that the phenomenon arising from low governance practices is identified as one of causes global financial crisis and corporate scandals have an effect on increase tax avoidance. In addition, research in Indonesia examines avoidance information by taking into account mechanisms still less consistent such a new perspective it becomes main consideration for this study. Likewise, c...

Since Feldstein (1999), the most widely used method of calculating the excess burden of income taxation is to estimate the e¤ect of tax rates on reported taxable income. Feldstein’s taxable income formula for deadweight loss implicitly assumes that the marginal social cost of evasion and avoidance equals the tax rate. This paper argues that this condition is likely to be violated in practice fo...