The Effect of Audit Quality and Profitability on Tax Management with Firm Value as a Mediating Variable

This study aims to analyze the effect of audit quality and profitability on tax management, with firm value serving as a mediating variable, in energy sector companies listed on the Indonesia Stock Exchange during 2022-2024. This research uses a quantitative approach and secondary data obtained from annual reports and financial statements. The sample was selected using purposive sampling, resulting in 38 companies and 114 observations. Audit quality is measured using a public accounting firm reputation scale, profitability is measured using Return on Assets, firm value is measured using Price Earning Ratio, and tax management is measured using Effective Tax Rate. The data were analyzed using multiple linear regression and path analysis with SPSS. The findings show that audit quality has no significant effect on firm value or tax management. Profitability has a significant negative effect on firm value but no significant effect on tax management. Firm value also has no significant effect on tax management and is unable to mediate the effect of audit quality and profitability on tax management. These findings indicate that tax management practices in energy sector companies are more likely to be explained by other factors, such as leverage, firm size, fixed asset intensity, tax facilities, or internal tax policies.