Tax Audit Research Articles

Pengaruh Pemeriksaan Pajak, Jumlah Wajib Pajak Dan Inflasi Terhadap Penerimaan Pajak Penghasilan (Studi Pada Kantor Pelayanan Pajak (KPP) Pratama Cibitung Periode 2017 – 2021)

The purpose of this study is to investigate the effects of inflation, the number of taxpayers, and a tax audit on income tax receipts. The factors utilized in this study are Duty Review, Number of Citizens and Expansion as Autonomous Factors and Annual Expense Receipts as Reliant Factors. All Individual and Corporate Income Tax Receipts, registered Individual and Entity Taxpayers, the number of SKPKBs issued at KPP Pratama Cibitung, and the amount of inflation published monthly by the Central Bureau of Statistics (BPS) of Bekasi Regency in 2017, 2018, 2019, 2020, and 2021 (time series data of 60 months) comprise the population of this study. The saturated sampling method was used for the study's sample, which included the entire population. This sort of exploration utilizes illustrative examination which expects to make sense of the easygoing connection between the factors that impact speculation testing. Using the SPSS version 23 program, multiple regression analysis was used as the analytical method. According to the findings of this study, the Variable of Tax Audit has an effect on Income Tax Receipts, the Variable of Number of Taxpayers has an effect on Income Tax Receipts, and the Variable of Inflation has an effect on Income Tax Receipts.

The Effect of Tax Audit, Tax Amnesty, and Tax Sanctions on Taxpayer Compliance at Pratama Bima Tax Services Office

This study aims to analyze the effect of tax audits, tax amnesty, and tax sanctions on taxpayer compliance at the Bima Pratama Tax Service Office. This study uses primary data and secondary data. Preliminary data were obtained through each respondent's answers, and secondary data was obtained from KPP Pratama Bima related to the number of individual registered taxpayers, taxpayers subject to SPT, and taxpayers reporting SPT. The samples in this study were 92 individual taxpayers registered at KPP Pratama Bima. Data were analyzed using the SPSS statistical program. These results indicate that simultaneously and partially, the tax audit, tax amnesty, and tax sanctions variables positively and significantly affect individual taxpayer compliance.

Tax Auditor’s Ethics Review from Islamic Perspective (at Regional Office of DGT East Java I)

Tax Auditor’s Ethics Review from Islamic Perspective (at Regional Office of DGT East Java I)

Improvement of the Method of Carrying out Tax Audit of the Declaration on the Individual Income Tax in which the Deduction for the Education of Children is Declared

The subject of the study is the economic and tax relations that arise in the process of tax control of declarations in the form 3-NDFL. The aim of the study is to develop theoretical provisions in terms of improving the tax control of personal income tax based on changes to the form of a tax return and the development of methodological tools for a desk tax audit using cloud technologies. To achieve this goal, the following tasks are defined in the work: to identify the problems of a desk tax audit of declarations in the form of 3-NDFL, in which a deduction for the education of children is declared; develop new control ratios to automate the verification process. The scientific novelty of the study lies in the improved method of in-house tax audit of the tax return on personal income tax, in which the deduction for children's education is declared, based on cloud technologies and taking into account the total amount of the social tax deduction under code 321 in the context of SNILS, reflected in the developed form of the card calculation of deductions. The introduction of this mechanism into the practical activities of the tax authorities optimizes and reduces the complexity of business processes, increases the efficiency of control functions and tax administration in general, and also corresponds to the implementation of the measures specified in clause 2.2 Strategic map of the Federal Tax Service of Russia for 2020-2024.

The Impact of Perception of Justice on Tax Compliance Behavior through the Mediating Role of Social Support: An Empirical Study in Pakistan

The government adjusts its financial obligations and collects taxes to pay for the public through taxes. Tax behavior varies from individual to individual. Tax audits and fines are also policies to collect tax amounts. The study aims to determine tax compliance behavior. A quantitative approach is applied to obtain the respondent's perception of justice in tax laws. Overall total number of questionnaires sent to bar councils was 400, of which 325 lawyers responded. The problem is that Pakistan needs a better tax collection system; therefore, many problems are faced during tax collection. The justice system is better for recovering the tax penalties, whereas procedural justice investigates the compliance of individuals about the tax. Taxpayers also find ways to reduce the amount of tax and make deduction claims by hiding some of their assets. Tax audit is also a significant field to assess and measure fraud in the tax collection system. Results differentiate that there is a positive and significant relationship between tax compliance behavior and perception of justice. So, it rejects the null hypothesis and shows a significant relationship. If the individuals cooperate with the government and perform their duties well, then the structure of the tax system can survive and collaborate in the economy of Pakistan.

Возбуждение уголовных дел о налоговых преступлениях: проблемы и возможные пути их решения

Introduction. Tax crimes, the essence of which lies in the failure of taxpayers to fulfill their obligations and pay taxes in the amounts stipulated by the legislator, are most often detected within the framework of the activities of tax authorities, which reflects the possibility of initiating this category of criminal cases at the present stage solely on the basis of materials of a tax authority. At the same time, the guarantees contained in the tax legislation to protect a conscientious taxpayer from unfounded claims of tax authorities are successfully used by unscrupulous taxpayers who deliberately evade their duties, since they provide an opportunity to actquickly to conceal the traces of criminal activity. Not all the issues related to the receipt by tax authorities of information on the illegal activities of business participants, fixation of detected traces of a crime and sending the obtained results to the investigating authorities, have been resolved in the legislation, therefore, the achievement by tax service of the necessary results when conducting tax control also needs to be supported by legal mechanisms for the effective detection of tax crimes, their documentation and transfer to the investigating authorities for the initiation of criminal prosecution of the perpetrators. The aim of the study is the need to determine the possibility of expanding the number of reasons for initiating criminal cases on tax crimesbased on the analysis of the problems of implementing the modern legislative model for initiating criminal cases and the mechanism for conducting joint inspections with law enforcement agencies.
 Methods. In the course of the study, general scientific and particular scientific research methods were used: formal-logical methods (analysis, synthesis, generalization, hypotheses), comparative-legal, system structural research methods, statistical analysis method, observation, questioning, interviewing, content analysis of documents.
 Results. When studying the judicial practice and statistical reporting of the Federal Tax Service of Russia, it has been concluded that it is possible for taxpayers who are aware in advance of the identified risks of tax violations, as well as the amounts and circumstances of alleged evasion, to hide the traces of a crime, withdraw property or transfer business before a criminal case is initiated. Contradictions have been identified between the main tasks of the internal affairs bodies and their powers during the inspection and after its completion. The authors have made proposals regarding the possibility of initiating criminal prosecution by the internal affairs body in the event of tax evasion on an especially large scale, presence of facts of property withdrawal or business transfer after the taxpayer is handed a tax audit report and receives all the necessary documents from the tax authority.

Does procedural justice in a tax audit situation affect taxpayers’ acceptance of tax audit assessments?

ABSTRACT This study examines the effects of procedural justice and authority power on corporate taxpayers’ decisions to accept tax audit assessments via an experiment related to a hypothetical tax audit. We find that authority power but not procedural justice increases corporate taxpayers’ acceptance of tax authority decisions in a tax audit situation. However, when authority power is low, there is a significant effect of procedural justice in a tax audit on taxpayers’ aggressiveness in their decisions to accept tax audit assessments. According to the results, a combination of policy measures that enhance procedural justice and traditional deterrence measures warrants consideration to increase overall corporate tax compliance.

Predicting the deterrence effect of tax audits. A machine learning approach

AbstractWe apply machine learning methods to the prediction of deterrence effects of tax audits. Based on tax declarations data, we predict the increase in future income declarations after being targeted by an audit. We find that flexible models, such as classification trees and ensemble methods based on them, outperform penalized linear models such as Lasso and ridge regression in predicting taxpayers more likely to increase their declarations after an audit. We show that despite the non‐randomness of audits, their specific time structure and the distribution of changes in declared amounts suggest a causal interpretation of our results; that is, our approach detects a heterogeneity in the reaction to a tax audit, rather than just forecasting an unconditional future increase. We find that taxpayers identified by our model will on average increase their declared income by €14,461—the average among all audited taxpayers being €−205. Our approach allows the tax agency to yield significantly larger revenues by appropriately targeting tax audit.

The tax legislation of the state and the rules for the use of cash registers: integration issues

The subject of the study is the legal regulation of the obligation to use cash registers and its relationship with the tax obligation, as well as the ratio of tax control and control over the use of cash registers (operational control).The purpose of the study is to determine the theoretical, practical and legislative (normative) approaches to the integration of relations for fixing settlements (including with the use of cash registers) in the sphere of tax legislation regulation. The author determined the place of relations in the field of application of cash registers in the system of tax legal relations.The main hypothesis proposed by the author is that Russian legislation lacks the required quality of a legal link between the use of cash registers and the payment of taxes. According to the Tax Code of the Russian Federation, the obligation to use cash registers is not the responsibility of the taxpayer. At the same time, the obligation of organizations and individual entrepreneurs who make settlements in the Russian Federation is enshrined in a separate legislative act. This act establishes that the use of cash registers is carried out, among other things, for tax purposes, and the tax authorities are vested with the appropriate powers to control the use of cash registers.The author emphasizes that the use of a cash register is a tool for fixing the calculation - documenting in the trusted zone of the state the fact of the financial and economic life of the taxpayer. The nature of the obligation to use cash registers is the nature of tax legal relations. Although liability for violation of the rules for the use of cash registers under Russian law is administrative in nature, this fact does not contradict the theory of law. Consequently, the transformation of administrative responsibility for violation of the rules for the use of cash registers into tax liability is optional.In this regard, it is necessary to implement legislative changes in order to integrate into the tax legislation relations on the use of cash registers and control over the use of cash registers. The author, citing foreign legislation as an example, points to various options and degrees of integration. As the best option, it is proposed to include the obligation to record settlements in the Tax Code of the Russian Federation and recognize operational control as part of tax control there.In the course of the work, the author used both general research methods, including methods analysis and synthesis, as well as industry, including the formal legal method.Based on the results of the study, the author comes to the conclusion that it is necessary to transform the approach to the use of cash registers, to move to the category of “fixing settlements”. The necessity of including operational control in the composition of tax control is emphasized. This fact will create a single set of tools and rules for the work of tax authorities. All of the above will lead to the fact that each specific fact of violation of the rules for the use of cash registers can be reflected in a desk or field tax audit. As a result, the obligation to fix the calculations will become the basis for the functioning of new and promising taxation regimes.

Tax compliance behavior of taxpayers in Ethiopia: A review paper

This review paper attempted to assess the tax compliance behavior of taxpayers in Ethiopia. The objectives were specifically to identify determinants and challenges of tax compliance behavior of taxpayers in Ethiopia. Taxes are the most important sources of the government that make it possible to finance infrastructure, investment, and the provision of services for citizens. Tax compliance involves being aware and complying with tax laws and regulations set by the government and tax authorities. Tax non-compliance is an unwillingness in obeying tax laws and regulations. Tax non-compliance has been a challenge to the government and tax authorities in collecting as much tax as required for the nation. Failure to comply with tax prevents adequate revenue collection of the state. The major challenges of tax compliance in Ethiopia are the complexity of the tax system, inefficiency of tax authorities, lack of tax knowledge and awareness, negative perception of taxpayers, a negative act of tax assessors, absence of tax training, lack of transparency of tax system, arbitrary estimation of taxes, personal financial constraints, political instability and lack of timely tax audit.

Determinants of Tax Compliance Behaviour and Sustainable Economic Growth Among MSMEs in Nigeria

This study examined the effects of determinants of tax compliance behaviour on sustainable economic growth of micro, small and medium enterprises (MSMEs) in South-South, Nigeria. The study anchored on the economic deterrence theory and cross sectional survey research design was used on a sample of MSMEs in South-South, Nigeria. The primary data was collected using a questionnaire with a five-point Likert scale and a sample size of 535 using convenience sampling. The data collected were analysed using descriptive statistics, bivariate analysis while multivariate analysis was used in the estimation of the regression model developed for the study. The findings revealed that tax penalty has positive and significant influence on sustainable economic growth among MSMEs in south-south of Nigeria; tax fairness has positive and significant influence on sustainable economic growth among MSMEs in south-south of Nigeria; perceived opportunities of tax evasion has negative and insignificant influence on sustainable economic growth among MSMEs in south-south of Nigeria; tax audit has positive and significant effect on sustainable economic growth among MSMEs in south-south of Nigeria; and tax system has positive and significant influence on sustainable economic growth among MSMEs in south-south of Nigeria. On the basis of the findings, the study concluded that tax determinants such as tax penalty, tax fairness, tax audit, tax system and opportunity for evasion affects the level of sustainable economic growth among micro, small and medium enterprises in South-South Nigeria. The study recommended amongst others that government should expand the tax administration system in Nigeria and strengthen tax collection schemes and follow up procedures on MSMEs. Also frequent tax reforms designed and implemented that would increase revenue generation through tax collection and consequently stimulating sustainable economic growth of Nigeria.

TELAAH EMPIRIS FAKTOR-FAKTOR PENENTU PENERIMAAN PAJAK

<p align="justify">This study aims to empirically examine the effect of NPWP ownership obligations, tax audits, tax collection, and taxpayer awareness on tax revenues at the KPP Pratama Demak tax office. The population of this research is all taxpayers. In this research, purposive sampling technique is used. The sample used in this study were 96 respondents. The results of this study indicate that all independent variables, namely NPWP ownership obligation, tax audit, tax collection, and taxpayer awareness have a positive and significant effect on tax revenue (Y) partially or simultaneously (together). Based on the coefficient of determination of 0.929. In this case, it means 92.9% of purchasing decision variables. It is explained by the variable of NPWP ownership, tax audit, tax collection, taxpayer awareness of tax revenue. While the remaining 7.1% is explained by other variables outside the model.</p><p><strong>Key words : </strong>Taxpayer Identification Number Obligation, Tax Audit, Tax Collection, Taxpayer Awareness and Tax Revenue</p>

The Effect of Tax Audit And Tax Collection On Corporate Income Tax Receipt

The purpose of this research is to determine the effect of Tax Audit and Tax Collection on Corporate Income Tax Receipt. This research was conducted at the Bandung Bojonagara Tax Service Office for the 2016-2020 period. Based on the variables studied, the type of research used is descriptive and verification with a quantitative approach. While the analytical method used is multiple linear regression analysis, correlation coefficient analysis, analysis of the coefficient of determination, and hypothesis testing using t test. The results in this research indicate that tax audits have a positive effect on corporate income tax receipt, and tax collection has a positive effect on corporate income tax receipt at KPP Pratama Bandung Bojonagara. This means that every increase in tax audit will increase the corporate income tax receipt, and every increase in the tax collection will increase the the corporate income tax receipt.The results of this research are expected can provide input to the Tax Service Office in order to maximize Corporate Tax Revenue.

Tax Audit Effectiveness: Detection of Tax Sheltering Through Implication Book Tax Differences on Earnings Management

The objectives of the study were to (1) analyze the effectiveness of tax audits by detecting earnings management and tax sheltering and those carried out by audited taxpayers, (2) to examine the effect of Book Tax Difference on earnings management, and (3) to examine the impact of earnings management on tax sheltering. This research uses a quantitative approach with philosophical considerations of positivism, belongs to applied research, and includes descriptive research. The research design used is correlational research, namely testing and estimating the relationship of many variables either partially or simultaneously by using the multiple regression method of panel data. This study uses panel data regression analysis with (1) Common Effects using an ordinary least square (OLS) approach, (2) Fixed Effects using a dummy variable technique, (3) Random Effect Model (REM) or Generalized Least Square techniques. The research data was obtained from the Financial Statements of Manufacturing Companies listed on the IDX (2017-2020). The results of this study indicate that Earning Management is influenced by Book Tax Difference, Tax Sheltering is influenced by Earning Management, and the effectiveness of tax audits can be achieved by detecting earnings management and tax sheltering and by audited taxpayers. The novelty of this research is that the understanding of earning management and tax sheltering practices by taxpayers can be supported by providing access for tax examiners to audited financial statements and financial audit information.

Tax Fraud Reduction Using Analytics in an East European Country

Tax authorities face the challenge of effectively identifying companies that avoid paying taxes, which is not unique to European Union countries. Limited resources often constrain tax administrators, who traditionally rely on time-consuming and labour-intensive tax audit tools. As a result of this established practice, governments are losing a lot of tax revenue. The main objective of this study is to increase the efficiency of the detection of tax evasion by applying data mining methods in the East European country Lithuania, which has a rapidly developing economy, by applying data mining methods concerning affluence-related impacts. The study develops various models for segmentation, risk assessment, behavioral templates, and tax crime detection. Results show that the data mining technique can effectively detect tax evasion and extract hidden knowledge that can be used to reduce revenue losses resulting from tax evasion. This study’s methods, software, and findings can assist decision-makers, experts, and scientists in developing countries in predicting tax fraud detection.

Tax Revenues: Taxpayer Compliance as Intervening

This study aims to analyze the effect of the number of tax audits and tax sanctions on income tax receipts through taxpayer compliance as an intervening variable at KPP Pratama Medan Timur. This study uses primary data by conducting direct research in the field as many as 44 respondents through a questionnaire with a Likert scale. The statistical method used with Path Analysis. By using the SPSS 26 program. The results of path analysis found that: the number of tax audits has an effect on tax revenues, but tax sanctions have no effect partially. the number of tax audits and tax sanctions have a significant effect on taxpayer compliance. However, partially, only tax audits have a positive and significant effect. tax audits, Tax sanctions and taxpayer compliance have a positive and significant effect on tax revenues at KPP Pratama Medan Timur, but partially only taxpayer compliance has a positive and significant effect. Taxpayer compliance is able to mediate the influence of tax audits on taxpayers. However, it cannot mediate/intervening tax sanctions against tax revenues at KPP Pratama Medan Timur.

Pengaruh Pemeriksaan Pajak Sanksi Perpajakan Dan Motivasi Wajib Pajak Terhadap Penggunaan Jasa Konsultan Pajak (Studi Empiris Pada KPP Pratama Kota Depok Tahun 2022)

This study aims to provide empirical evidence of the effect of tax audits, tax sanctions and taxpayer motivation on the use of tax consultant services in the work area of the Tax Service Office (KPP) Pratama Depok Sawangan partially and simultaneously. This research is a type of quantitative descriptive research using primary data sources, namely questionnaires. The population in this study were registered individual taxpayers and then formulated through the slovin formula, 100 respondents were obtained as samples. The sample was taken using a non-probability sampling technique, then the results of the respondents' answers would be analyzed using multiple linear regression analysis techniques with the help of SPSS version 25 software. The results of the study show that tax audits, tax sanctions and taxpayer motivations together have an effect on the use of tax consultant services. Then partially found that tax audits and tax sanctions affect the use of tax consultant services. While the motivation of taxpayers does not affect the use of tax consultant services partially.

СОЛИҚ ТЕКШИРУВЛАРИ: АУДИТСАМАРАДОРЛИГИТАҲЛИЛИ

In the article, the types of tax audits such as camera tax audit, field tax inspection and tax audit are already being used in practice in our country today, and they are being carried out today depending on the state of fulfillment of tax obligations by the taxpayer. But due to the lack of research on the concepts of tax audit and audit effectiveness, it is increasing the need to study it as a new direction. In this article, the foreign experience of the impact of audit efficiency on the activities of taxpayers was studied, the state of tax audits in our country was analyzed over the years, the importance of audit efficiency was revealed, and conclusions were drawn within the topic

E-audit in Ukraine: normative and legal regulation

Introduction. Rapid digitalization, along with its positive impact, provokes considerable uncer­tainty, in particular at the highest legislative level. These changes will have an impact on all spheres of life, changing the usual structure of the economy, business and social systems as a whole. Problem. The author’s vision of the expected future in the development of e-audit at the legis­lative level of the country is presented, because without procedural regulation, normative conso­lidation, this type of activity will not have full and legitimate legitimacy. The development of e-audit in Ukraine is based on the best experience of progressive countries, taking into account the domestic specifics of management. The aim of the article is to highlight possible problems and ways to solve them at the regula­tory and legal level, which will ensure the effect­tive implementation and functioning of e-audit. Methods. General scientific and special met­hods of observation such as generalization, com­pa­rative, structural, systemic analysis, as well as modeling of business processes, and logical gene­ralization of results were applied in the article. Results. The authors have offered their app­roach to optimal ways of legal regulation of e-audit in Ukraine. Conclusions. International experience shows that the use of a tax audit file is a modern world trend and the basis for conducting e-audits; therefore, the development of its own version of SAF-T is one of the first steps towards the implementation of an electronic audit system, which Ukraine has successfully introduced. However, it is no less important to develop a new legislative act that would specialize in this area, so we propose the adoption of the law "On ele­ctronic audit". The selection or development of the necessary software products and specialized software is also important. Despite some problems, the prospects for the development of e-audit in Ukraine are obvious.

Assessment of the effectiveness of the organization of tax audits of the Federal Tax Service of the Russian Federation on the example of RD

Assessment of the effectiveness of the organization of tax audits of the Federal Tax Service of the Russian Federation on the example of RD