Tax Regulations Research Articles

The Influence of Green Tax Regulations on New Renewable Energy Funding in Indonesia

<div><table cellspacing="0" cellpadding="0" align="left"><tbody><tr><td align="left" valign="top"><p>Reen taxes, such as carbon taxes, can help countries invest in the latest technologies and achieve sustainable prosperity by funding renewable energy. However, we see that the current tax system still needs to be improved. This research aims to analyze the Influence of Green Tax Regulations on New Renewable Energy Funding in Indonesia. This research employs a normative legal approach informed by a literature review. The research results show that the various regulations regarding green tax regulations impact the non-maximization of new renewable energy funding. Taxes can generate government revenue by trading carbon credits to reduce greenhouse gas emissions. Additional funds can be used to fund initiatives in alternative settings. Green taxes, such as carbon taxes, can help countries invest in emerging technologies and achieve sustainable prosperity by providing funding for renewable energy.</p></td></tr></tbody></table></div>

Determinants of Small Business Tax Compliance Behaviour: Evidence From Zimbabwean Small Businesses

Many developing countries have implemented tax regulations for small enterprises and the simplification of tax systems in recent times. Tax compliance attitudes within this sector vary significantly due to the high cost to comply and the technical nature of tax law. Many different factors influence presumptive tax compliance and previous research did not necessarily identify the determinants of this phenomenon. Two hundred and nineteen small business owners/managers participated in the study. The validation of the measurement model and the structural model was performed using the Partial-Least Squares Structural Equation Model. The study evaluated the impact of tax morale, corruption and taxpayer/tax office relationships on presumptive tax compliance in the Zimbabwean context. It was found that corruption significantly influences small business operators’ compliance levels under a presumptive tax system. Significant differences were found in small business owners and managers who differed in their perceptions of their relationships with the tax office. The results of this study would assist tax authorities in understanding small businesses’ perceptions when reviewing the current presumptive tax systems. JEL classification: H20, H29 Article History: Received: June 28, 2024; Reviewed: September 5, 2024; Accepted: November 11, 2024; Available online: December 17, 2024.

Kepastian hukum permohonan imbalan bunga terhadapKelebihan pembayaran surat tagihan pajak atas denda penagihan

Legal certainty in tax regulations must be stipulated in the Law clearly and not open to multiple interpretations, this aims to ensure that taxpayers obtain legal certainty in carrying out their tax obligations and protect their rights as taxpayers, who have contributed greatly to building the Indonesian state. One of the rights of taxpayers is to receive interest compensation if there is an excess payment of tax that has been paid by taxpayers to the state, in its implementation taxpayers often experience obstacles regarding the interpretation of the applicable formal provisions when submitting an application for interest compensation to the Director General of Taxes, the application for interest compensation in question relates to excess payments on tax bills for fines related to fines for collection of Article 27 paragraph (5d) in the Law on General Provisions and Tax Procedures, due to an appeal decision that rejects the application from the Taxpayer which causes an increase in the Taxpayer's tax burden, taxpayers can still take legal action for a judicial review to the Supreme Court if they are not satisfied with the appeal decision, In the event that the legal action for a Judicial Review from the taxpayer is granted in whole or in part, the collection fine must be returned to the taxpayer, but can interest compensation be requested from the collection fine? In this study, the researcher uses the Legal System Theory and the Legal Certainty Theory as research analysis tools to be able to answer the problems in the research object. This research uses a normative juridical research method which looks for data in the form of statutory regulations and Tax Court decisions regarding requests for interest compensation for excess payment of tax bills over collection fines. So this research aims to find out how the application for interest compensation is implemented. regarding tax overpayments and legal certainty regarding requests for interest compensation regarding overpayments of tax invoices over collection fines Legal certainty regarding the request for interest compensation on excess tax bill payments on fines for collection of collection still needs further confirmation because in the Tax Bill there are many forms of Administrative Sanction fines. The Request for Interest Compensation on Excess Tax Payments should create regulations that can shorten the time and are easy to understand for all taxpayers in order to make it easier for taxpayers to fulfill their tax obligations.

Modeling a Green and Reliable Intermodal Routing Problem for Food Grain Transportation Under Carbon Tax and Trading Regulations and Multi-Source Uncertainty

This study addresses an intermodal routing problem encountered by an intermodal transportation operator fulfilling the food grain transportation order of an agri-food company. To enhance the environmental sustainability of food logistics, carbon tax and trading regulations have been employed to reduce the carbon emissions associated with transportation. Multi-source uncertainties, including the company’s demand for food grains and various parameters related to the intermodal transportation activities, are modeled via trapezoidal fuzzy numbers to optimize the comprehensive reliability of the solution. This work incorporates wastage reduction by lowering the wastage costs and formulating a wastage threshold constraint in intermodal routing. Accordingly, a fuzzy mixed-integer nonlinear programming model for a green and reliable intermodal routing problem for food grain transportation is proposed. To overcome the model’s insolvability and the difficulty in finding the global optimum solution to a nonlinear optimization model, a two-stage solution method is developed, employing chance-constrained programming and linearization technique to reformulate the initial model. A numerical case study is given to verify the feasibility of the proposed methods. Sensitivity analysis reveals the influence of confidence levels and wastage threshold, providing insights for the agri-food company to balance economics, reliability, and wastage reduction in food grain transportation. The numerical case study also analyzes the feasibility of carbon tax and trading regulations in reducing carbon emissions, concluding that carbon tax regulations consistently achieve greater reductions and are universally feasible. In contrast, the feasibility of carbon trading regulations depends on confidence levels and wastage threshold. The findings of this work could provide strong quantitative support for intermodal transportation operators and agri-food companies seeking to implement sustainable food grain transportation.

Comparison of Income Tax and Tax Reliefs According to Income Tax Laws and Regulations for Individual Residents in Indonesia and Singapore

This study focuses on a comparative analysis of income tax laws and regulations and tax reliefs in Indonesia and Singapore, employing a normative legal approach. It reveals that Singapore's tax reliefs, reflecting the government’s shared values, address diverse family needs, including elderly care, child development, health, and housing. Conversely, Indonesia provides tax reliefs through non-taxable income to support families. Despite Indonesia’s well-structured tax system, the government should address challenges, including inflation and external constraints, impacting public purchasing power and contributing to a high-cost economy.

Accounting for Transparency: a Framework and Three Applications in Tax, Managerial, and Financial Accounting

AbstractThis article presents how the Collaborative Research Center TRR 266 Accounting for Transparency understands and studies transparency in organizations and markets. Starting from our transparency definition, which is rooted in a sender/receiver framework, we discuss how accounting, taxation, and their regulation affect transparency and illustrate selected economic consequences of transparency. We use three analyses to exemplify our research approach. These analyses illustrate that (i) firms use tax literacy and tax advice as substitutes in their strategies to cope with signals sent by tax regulators about complex tax regulations, (ii) trade-offs between tighter management controls and employee motivation lead firms to design hybrid work environments that facilitate information exchange within the firm, and (iii) managers’ understanding of how financial statement users benefit from firm disclosures affects the managers’ assessments of disclosure regulation. Overall we argue that transparency is context-specific, hard to achieve, and often has ambiguous consequences. We conclude by highlighting selected transparency-related questions that interdisciplinary work with a particular emphasis on institutional details can meaningfully address.

»Dinar na dinar – nov vrtec«

The article uses the example of the municipality of Ljubljana Vič - Rudnik to illustrate the development of the self-imposed contribution mechanism and its role in the process of socialist modernisation. Self-imposed contributions were time-limited levies addressing common local needs, most often infrastructure development. They were first regulated in the1940s by a special decree and later governed by tax regulations, while in 1973, the Self-Imposed Contributions Act was adopted. Self-imposed contributions gradually evolved from a mechanism for underdeveloped rural communities to one of the crucial financial sources for the construction of public infrastructure. This mechanism lost its role in the mid-1980s due to the growing economic crisis and continuing difficulties with the implementation of projects funded this way. In rural areas, where participation of the population was essentialfor the development of infrastructure throughout the socialist period, it nevertheless persisted until the end of socialism.

Improving the risk profile of Indonesian enterprise taxpayers using multilabel classification

Optimizing tax revenues is difficult in Indonesia due to obstacles such as tax evasion and tax avoidance. It is closely related to an organization's compliance with tax regulations, known as the taxpayers risk profile. However, this mechanism does not accurately detect tax avoidance and tax evasion risks. To overcome this limitation, we use a multilabel classification machine learning method in this study, which classifies a single observation into one or more labels at once. The approach involves problem transformation (binary relevance and label powerset), algorithm adaptation (multilabel k-nearest neighbor (ML-kNN) and multilabel-adaptive resonance associative map (ML ARAM)), and ensemble (label space partitioning and random k-label sets with disjoint (RAkELd)). Based on the model performance comparisons, we discovered that the ML-ARAM method based on deep learning is the best, with an average F1-score of 95.5% and a hamming loss of 7.4%. We also examine the feature importance of the best model to reduce the dimensions of features so that we can identify the dominant factors that encourage a taxpayer entity to engage in tax avoidance or tax evasion. The findings of this study improve the accuracy of tax avoidance risk detection and tax evasion risk profiles using machine learning methods, ensuring maximum tax revenues in Indonesia.

Factors influencing tax compliance among e-commerce traders in Indonesia

ABSTRACT Taxation in e-commerce is crucial for countries, businesses, and consumers. Combatting tax avoidance enhances compliance and fairness. Understanding e-commerce attitudes on tax morality is vital to curb evasion. This study aims to examine the relationship between the perception of tax rate, referral group, tax knowledge, tax regulation, and perception of equity and fairness on compliance of e-commerce trade in Indonesia. Data from 433 taxpayers reveal these factors significantly impact compliance. Insights inform effective tax policy design for e-commerce dynamics, aiding governments in responsive strategies.

Validation Of Matching Nik, Npwp And Assistance In Filling Out Annual Tax Returns With Ibi Kosgoro Tax Volunteers For 2024 Term Of Service

Matching of Population Identification Numbers (NIK) and Taxpayer Identification Numbers (NPWP), as well as assistance in filling out the Annual Tax Return (SPT). Validation of NIK and NPWP is a critical step in identifying and ensuring the validity of individual and company data in various administrative processes, especially those related to tax obligations. NIK validation involves matching a person's personal identity data with an official government database, while NPWP validation verifies the existence and validity of a company's tax identification number. These two processes support the accuracy of information used in various financial transactions and reporting. Apart from validation, assistance in filling out the Annual Tax Return is also important to ensure that the tax documents submitted comply with applicable tax regulations. This assistance can take the form of technical assistance in filling out SPT forms, consultation regarding income classification and processing tax deductions, as well as interpretation of the latest applicable regulations. Validation of NIK and NPWP as well as assistance in filling out the Annual SPT plays an important role in supporting administrative efficiency and tax compliance. By optimizing these processes, it is hoped that it can improve tax compliance, reduce the risk of administrative errors, and increase transparency and accountability in data management and financial reporting.

ANALISIS DAMPAK KENAIKAN TARIF PAJAK PERTAMBAHAN NILAI (PPN) TERHADAP MASYARAKAT DAN INFLASI DI INDONESIA

This research aims to analyze the impact of increasing value added tax (VAT) rates on society and inflation in Indonesia. The method used is a literature review with a library study approach, utilizing secondary data sources such as books, articles, scientific works, previous research and other related literature. The research results show that the increase in the VAT rate from 10% to 11% and the planned increase to 12% in 2025 have caused various responses among the consumer community, the business community, the macro economy and towards inflation. That this increase will increase the expenditure burden, resulting in an increase in the prices of goods and services, as producers or service providers will most likely adjust their prices to cover the additional VAT costs they have to pay to the government. However, based on the law on harmonization of tax regulations, there are certain criteria regarding goods and services that are subject to VAT. This increase also aims to increase state revenue, expand the tax revenue base, reduce the state budget deficit, and maintain long-term fiscal stability. The increase in VAT from 10% to 11% has a direct impact on inflation with a contribution of around 0.4–0.5%. However, this impact tends to be short-term because it is limited to the initial adjustment phase. The impact on inflation tends to be limited, because the main factor for inflation in Indonesia is more influenced by global commodity prices, namely the sharp increase in commodity prices such as cooking oil and fuel oil (BBM). The government seeks to maintain price stability through a policy of sending taxes on essential goods and subsidies, so that the impact on society can be minimized.

Transfer Pricing and Growth Navigation Sales in a Dynamic Tax Environment in Indonesia

This study focuses on the relationship between transfer pricing and sales growth in a dynamic tax environment in Indonesia. Transfer pricing is an important issue for multinational companies in determining transaction prices between affiliated companies in various countries, including Indonesia, which has complex tax regulations. Transfer pricing practices are often used to optimize a company's tax burden by taking advantage of differences in tax rates between countries. However, the implementation of this strategy is not free from strict supervision by the Indonesian tax authorities, who continue to update policies and regulations to prevent tax avoidance. Along with the growth of the company's economy and sales, the challenges in navigating transfer pricing are increasing. Companies are faced with the need to maintain compliance with tax regulations while still focusing on sustainable sales growth. The dynamic tax environment in Indonesia requires companies to continue to adapt to changes in policies, which can affect their transfer pricing structure. Therefore, understanding the impact of ever-changing tax policies on transfer pricing strategies is an important key for companies that want to grow sustainably and avoid the risk of tax disputes with the authorities.

Model Transparansi Penerimaan Pajak Daerah dan Retribusi Daerah pada Badan Pengelolaan Pendapatan Daerah Kabupaten Bogor

CHRISNA DELVIANA GIRSANG. NIM: E. 2010209. "Model of Transparency of Regional Tax and Regional Levy Revenue at the Regional Revenue Management Agency of Bogor Regency". Thesis. Legal Study Program, Faculty of Law, Djuanda University Bogor, 2024. Payment of regional taxes and regional levies originating from people's money is a manifestation of community participation in financing national development, in its collection and management it must be transparent, professional and accountable and supported by a tax administration system that is easy for taxpayers to understand, so that it has an impact on increasing Regional Original Income. This research aims to examine the model of transparency in regional tax revenue and regional levies at the Regional Revenue Management Agency of Bogor Regency and its impact on public trust and increasing regional income. Transparency in public financial management, especially taxes and levies, is an important factor in realizing good governance. The research results show that the implementation of the transparency model in the receipt of Regional Taxes and Regional Levies at the Bogor Regency Regional Revenue Management Agency includes information accessibility, accountability and community participation. Regional governments that implement this transparency model are able to increase public trust, which in turn contributes to increasing taxpayer compliance and regional revenues. Obstacles faced in implementing transparency include limited human resources, information technology, and bureaucratic cultural resistance, so that the results have an impact on increasing Regional Original Income. The research method used is through a normative and empirical juridical approach with a literature approach using laws, regional regulations, and interviews. It can be concluded that the system and mechanism for monitoring regional tax collections and regional levies is still not running as effectively as expected. For this reason, with the authority of Regional Autonomy, regions can make regional regulations, especially regarding innovations in regional tax collection models and regional levies in accordance with the demographics of the region which will have an impact on the progress and empowerment of the region. Keywords: Transparency, Regional Tax, Regional Levy, Bappenda.

Do markets react to dividend announcements and sharia compliance? Evidence from organisation of Islamic cooperation countries

Purpose This study aims to investigate the market reaction to dividend announcements and sharia compliance based on the Islamic stock indexes of Indonesia, Malaysia and Pakistan by scrutinising investors’ interpretations, behaviour (traditional, rational, religious or ethical) and preferences. Design/methodology/approach Event study methodology (ESM) was used to analyse 31 days around the event date. The research period spanned 2011–2018, during which 282 observed dividend announcements were tested using a t-test, and there were 4,960 cases of sharia compliance in the data panel. Findings Indonesian investors react to earnings surprises as bad news while bypassing dividend announcements, thus classifying their behaviour as rational. Meanwhile, investors in Malaysia and Pakistan respond to dividend announcements as bad news while bypassing earnings surprises, thus classifying their behaviour as traditional. Surprisingly, sharia compliance does not affect abnormal returns. These results imply that investors prefer a profit motive rather than sharia compliance. Practical implications To perpetrate positive reactions, companies need to increase earnings (Indonesia), nominal dividends (Malaysia) and delay dividend announcements (Pakistan). Also, tax regulators need to evaluate dividend tax and capital gains tax. Social implications Investors cannot solely rely on Islamic stock lists, while regulators and firms must be transparent and accountable regarding sharia compliance ratio. Originality/value There is a dearth of research on market reaction in Islamic stock indexes. This study adheres to critical assumptions of ESM: controlling the confounding effects and ensuring market efficiency. These assumptions lead to the proposal of mandatory and advisory sharia compliance, evaluation of ratios using a staple scale and examination of differences in dividend tax rates. An extended tax preference theory is also proposed to contribute to the body of knowledge.

The impact of the Global Minimum Tax on Vietnam's foreign direct investment attraction

This study assesses the impact of the Global Minimum Tax (GMT) on the attraction of foreign direct investment (FDI) in Vietnam. The authors rely on the analytical framework of UNCTAD (2022) and descriptive statistical methods to analyze and evaluate the impact of GMT on FDI attraction. The research findings indicate that the implementation of GMT will affect tax competitiveness, profit shifting, investment location, and investment scale in various degrees and directions. In particular, GMT may create conflicts between current tax laws and GMT rules, leading to inconsistencies and difficulties in enforcing tax regulations. Vietnam will have to compete with other countries in asserting tax jurisdiction over investment activities on its territory. GMT may negatively affect FDI inflows into Vietnam in sectors with a high tax elasticity to investments. Vietnam may be forced to move away from competition for attracting FDI solely based on corporate income tax and shift to new forms of competition. Based on these findings, the paper proposes several recommendations for the Vietnamese government to refine policies related to GMT.

Evaluation of the HR Management and Organization Capacity of Bapenda for Optimizing Regional Fiscal Independence

This research aims to evaluate the capacity of the Tegal Regency Regional Revenue Agency as a regional tax management organisation based on the two OECD pillars, namely human resource management, and organisational management, to assist the Tegal district government's efforts to increase fiscal independence. This research uses a qualitative approach with a case study method. Primary data sources are interviews with seven respondents at the Regional Revenue Management Agency of Tegal Regency and secondary data in the form of documents related to the research topic. The results of the research show that the condition of human resource management capacity and organisational management of the Tegal Regency Bapenda still requires further capacity development, especially capacity in the medium and significant categories. Some of the problems that still need further capacity development include those related to the competence of employees at Bapenda who do not fully fulfil tax administration functions, the division of tasks and authority that is still not effective. Also, there are still policies that have not been evaluated and updated regularly. This research is expected to provide an overview of the condition of human resource management capacity and the Tegal Regency Bapenda organisation's management of regional taxes so that it can be used as a reference in planning organisational capacity development in an effort to achieve regional fiscal independence.

Socialising of Harmonising Tax Regulation for Micro, Small and Medium Enterprises (MSMEs) in the Village of Kerinjing

The aim of this community service is to give a better understanding of harmonizing tax regulations on micro, small and medium enterprises (MSMEs) in the village of Kerinjing. Tax assistance related to the Socialisation of Harmonisation of Tax Regulations for MSMEs in Kerinjing Village, Tanjung Raja Sub-district, Ogan Ilir Regency that will be carried out aims to provide information and for MSMEs based on applicable provisions both those regulated in Law N0. 7 of 2021 concerning Harmonisation of Tax Regulations. The implementation team made three visits for location surveys, implementation and evaluation of community service activities. Implementation of this community service is on 26 October 2022. The number of participants was 30 people. Implementation methods are lectures, tutorials and discussions. During the implementation, questions and answers and discussions were held to see the understanding of the activity participants. From the results of the service activities, it is clear that there are still many MSME actors who do not yet have an understanding of the harmonization of tax rules. Micro, Small and Medium Enterprises (MSMEs) are expected to report their business tax results as well as possible and to refer to the current tax laws and regulations. The socialisation of harmonisation of tax regulations for MSMEs in Kerinjing Village provided participants with an understanding of the definition of tax, the subject and object of income tax and also provided participants with an understanding of tax obligations related to income tax and value added tax.

Understanding of Tax Directorate General Employees on Taxpayer Compliance Behavior

Revenue from the taxation sector is the main pillar of state revenue in the State Budget (APBN). However, the Tax ratio, tax capacity, tax effort and tax bouyancy are still very low in Indonesia, indicating that taxpayer compliance behavior in Indonesia is also still very low. Policy is a challenge in efforts to optimize state revenue, especially tax revenue to improve compliance. By understanding the factors that influence compliance behavior, policy makers can develop stronger and more effective ways of dealing with compliance risks. Based on the problems studied, the study uses a qualitative research type. The qualitative approach concentrates more on interpretation and understanding. In terms of data collection and analysis, this approach is sensitive to the context that aims to holistically understand the problems being studied. Qualitative research aims to obtain and understand the meaning of a context in its natural setting and does not prioritize generalization. The results of the analysis show that all informants agree and agree that taxpayers have non-compliant behavior in carrying out their tax obligations. Informants interpret that being compliant can only be obtained from the character of taxpayers, internal factors. Then followed by the influence of external factors in the form of economic factors and the environment of Taxpayers. According to informants, most taxpayers are not compliant due to ignorance, it is very important to ensure that the right tax information according to taxpayers' needs is conveyed clearly by the tax authorities. Supervision from the tax authorities and law enforcement efforts from the tax authorities can encourage taxpayers to behave compliantly. Taxpayers who are already compliant expect service and convenience. Meanwhile, taxpayers who decide not to comply require extra supervision according to tax regulations. Compliance or non-compliance with tax regulations is the result of ongoing interaction between the tax authorities and taxpayers.

Does the presence of a sustainability committee strengthen the impact of ESG disclosure on tax aggressiveness? Insights from North America

AbstractWe investigate the influence of ESG disclosure on tax aggressiveness within the North American Travel and Leisure (T&L) sectors, specifically examining the role of sustainability committees in this relationship. Our analysis utilizes longitudinal panel data from the USA B3000 and Canadian S&P/TSX indices over the period from 2010 to 2020. Employing fixed-effects panel quantile regression with two distinct measures of tax aggressiveness, our findings indicate that firms with a focus on ESG tend to display higher levels of tax aggressiveness. This suggests that some companies might use strong ESG performance as a facade to obscure aggressive tax strategies. Moreover, our research introduces new evidence that the existence of sustainability committees can both hinder corporate tax aggressiveness and foster an ethical corporate culture, which aligns higher ESG engagement with lower tax aggressiveness. Our study underscores the importance of fostering tax compliance in T&L companies, emphasizing that individuals and corporations, which often seek direct state benefits, regard robust public services as essential for encouraging adherence to tax regulations. Furthermore, sustainability committees play a crucial role in enabling firms to address broader social issues, including tackling tax aggressiveness, thus shaping their sustainability agendas.

The influence of tax service quality and tax socialization on individual taxpayer compliance in the regional tax office of the Riau Islands

This research investigates how taxpayer compliance at the Riau Islands Regional Tax Office is affected by two factors: the quality of tax services and tax socialization efforts. The researchers surveyed 116 individual taxpayers and analyzed their responses using regression analysis. The findings revealed that both factors positively influenced compliance levels. Specifically, each unit improvement in tax service quality led to a 0.227 unit increase in compliance, while each unit increase in tax socialization resulted in a 0.479 unit rise in compliance. Together, these two factors account for 34.9% of the variations in taxpayer compliance behavior. Based on these results, the study recommends enhancing both service quality and socialization activities to boost tax compliance in the region.