Tax Payments Research Articles

Perceptions of Individual Taxpayers towards Tax Avoidance: A Case Study of Cuttack District of Odisha

The primary and major source of revenue of any government is collection from the tax. The amount of tax revenue is expensed for the welfare of the public. Various provisions are laid down in the Income Tax Act, of 1961 for the levy and collection of tax. The taxpayers have to take the benefits of loopholes of the provisions for the reduction of tax burden and it is called Tax Avoidance which is a legal action. Ultimately, tax avoidance reduces the sources of revenue of the government. This paper attempts to study the perception of the individual taxpayers towards Tax Avoidance in Odisha. This study is based on both the primary and secondary sources of data. The primary data has been collected and compiled from the responses of 100 numbers of individual taxpayers. The secondary data have been collected and compiled from the various ancillary sources such as magazines, periodicals, journals, and some apparent websites. The data collected from these sources have been categorized and tabularized as per the necessities of the current study. There are various statistical and mathematical tools and techniques like the Chi-square test, percentage, trend Analysis, and Likert scale have been applied for the exploration and understanding of results. The present paper shows that a huge number of taxpayers or people are considering payment of taxes as a load in spite of the amount of tax is very less. The average perception of individual taxpayers differs significantly among different groups of the selected demographic and financial variables. The perception of individual taxpayers toward Tax Avoidance shows the adverse impact on the economic development of the country.

Imposing Corporate Death Penalty in Indonesia: A Discourse on Penalisation, Corporate Culture, and Deferred Prosecution Agreement

The Indonesian Penal Code 2023 regulates corporate criminal liability. It covers various issues, including the actions of a corporation that amount to corporate crimes, the conditions under which a corporation can be held criminally responsible, who can be held accountable, and the types of criminal sanctions imposed on corporations. The primary criminal sanction is the imposition of fines. However, several types of additional punishments may also be imposed, including dissolution of the corporation or, in other words, the “corporate death penalty”, which leads to a permanent termination of the corporation's operations, loss of jobs for employees, termination of production, and stoppage of tax payments to the government. Thus, if imposed without caution, corporate death penalty will negatively impact the state and society. This article analyses the effect of corporate death penalty on the society and highlights the need for judges to exercise caution before dissolving a corporation. The study applies normative legal research with the statutory and comparative approach. Primary and secondary legal materials were analysed. This article argues against the imposition of corporate death penalty in Indonesia for three reasons. First, Indonesia does not have sentencing guidelines for corporations. Second, Indonesia has not developed a Deferred Prosecution Agreement (DPA) mechanism yet, which is an obstacle to developing a better corporate culture. Third, corporate death penalty has harmful impacts on a country's economy and public welfare; among others, it increases the unemployment rate, which impacts social life.

Digital transformation of tax payment obligations: stages of legal regulation development

The digital transformation of the obligation to calculate and pay taxes is a step-by-step process, and each of the periods of development of legal regulation on the payment of taxes corresponds to its own characteristics and trends. In the course of the study, three stages of the development of new provisions of tax legislation on the payment of taxes related to the digitalization of the economy were identified: automation (informatization), digitalization itself and robotization, involving the introduction of artificial intelligence technology. The author points out the peculiarities of the introduction of digital services of the Federal Tax Service of Russia in the process of calculating and paying taxes, and also emphasizes the strengthening of the trend of tax (fiscal) unitarianism in connection with the introduction of a single tax payment mechanism. In the context of the relationship between the blockchain and the transformation of the Federal Tax Service of Russia into a digital platform, an analysis of the development of the concept of “smart” taxation is provided. To characterize the stage of robotization of the fulfillment of the duty to pay tax, examples of the use of artificial intelligence in the field of taxation are given, and attention is also drawn to the value of introducing the principle of human-centered use of artificial intelligence in tax relations.

EFEKTIVITAS PEMUNGUTAN RETRIBUSI DAERAH PADA ORGANISASI PERANGKAT DAERAH DI PROVINSI BENGKULU

The title of this research is “Efektivitas Pemungutan Retribusi Daerah pada Organisasi Perangkat Daerah di Provinsi Bengkulu”. The objective of this research was taking the description about region retribution in Bengkulu city. The significance of this research was giving the information in the affectivities of taking region retribution on the OPD in Bengkulu province and can add the knowledge about the taking region retribution on the OPD in Bengkulu province. For the academician, it could be the reference and consideration to increase the income and have the new potential in the region retribution sector toward the income of Bengkulu province and this research could become a reference for the advance research. The methodology of this research was qualitative research. This research had been done since January 2019 up to Juny 2019 as the location survey, collecting the data, and analysis data. This research had been done to some of government instances in the Bengkulu province. The technique of collecting data was by using interview, observation, and documentation. Based on the analysis which had been done, so the result was the taking of region retribution in this province was effective. The factors those made this was; the official on the related instances was sufficient; there was involvement of the leader in each instances actively controlled the activities of taking region retribution in Bengkulu province; there was cooperative as team so that the instances did not have problem in reporting and storing of the region retribution in the related instances. Based on the research results, so the researcher suggested that for the Badan pengelola Keuangan Daerah Provinsi Bengkulu, it would be better to increase the monitoring by checking suddenly or period, increase the monitoring processes, giving punishment for them those always arrear in storage their duty then increase the tax payment and the service which was given by the government instances. The further researches were suggested to take new side of the region retribution implementation and the quality of service by involving some of variables, such as the involvement management by involving government instances which more extensive in the Bengkulu province.

Pengaruh Pengetahuan Perpajakan, Kesadaran Wajib Pajak Terhadap Kepatuhan Wajib Pajak UMKM Di Kecamatan Cileungsi

This study aims to examine the influence of tax knowledge and taxpayer awareness on the compliance of taxpayers of MSME actors in Cileungsi District. The object of this research is Individual Taxpayers who run businesses that are included in the category of Micro, Small, and Medium Enterprises (MSMEs) and are registered at KPP Pratama Cileungsi. The population in this study is 711 micro, small and medium entrepreneurs, the sample in this study is 88 respondents. Hypothesis testing uses multiple regression analysis. Data analysis using spss version 26. The results of this study are (1) The results of this study show that tax knowledge has a positive influence on the compliance of MSME taxpayers in the region, (2) The results of this study show that Taxpayer Awareness has a positive influence on the compliance of MSME taxpayers in Cileungsi District. And the results of the hypothesis test show that the significant level of F has a value less than α or that the Fcount is greater than the Ftable. It can be concluded that tax knowledge and awareness of tax payment obligations have a significant influence on the compliance of MSME taxpayers in Cileungsi District.

Penegakan Hukum Dalam Keterlambatan Pembayaran Pajak Kendaraan Bermotor Di Kabupaten Tabanan

The increase in population has led to a rapid increase in motor vehicle ownership. Motorized vehicles have become a basic necessity for some people. Ownership of motorized vehicles will be followed by obligations as taxpayers who must make tax payments. However, increasing the number of motor vehicle ownership does not necessarily increase public awareness to be obedient and aware of the obligation to pay taxes. This can lead to legal consequences for both the community and the government. This research aims to find out the regulation in the field of taxes responding to the lack of public awareness of tax payments. With the main problems that will be discussed in this study, namely 1) how is law enforcement in late payment of motor vehicle tax in Tabanan Regency, 2) What are the inhibiting factors in the enforcement of late payment of motor vehicle tax in Tabanan Regency. The research method used is an empirical research method, with a fact approach and legal concept analysis approach. The results of law enforcement in late payment of motor vehicle tax in Tabanan Regency are given a PKB notification letter given a notification letter of STNK validation and a late notice of tax payment, if it has not been replied to from the taxpayer, UPTD PPRD Bali Province in Tabanan Regency will impose penalties on taxpayers such as administrative penalties for interest / fines and inhibiting factors are the lack of awareness of taxpayers in paying motor vehicle taxes, transferring motorized vehicles without transferring names, vehicle owners moving residence.

Determinants and Extent of Tax Compliance among SMEs in Arusha City Council, Tanzania

Taxes have been a nourishing commodity in generating revenues liable for financing governments’ budgets all over the world. This being the fact, this study examined the determinants and extent of tax compliance in SMEs in Arusha City Council which was the specific objective of this study. This was a cross-sectional study which employed a double Hurdle regression model to analyze primary data collected from a sample of 100 SMEs’ owners obtained by simple random sampling to represent the entire population of SMEs owners via questionnaire and analyzed with STATA software version 17. Using the economic deterrence theory to guide the analysis of this study, the analysis found that Male entrepreneurs dominate the SME sector, SME owners understand tax regulations and undergo frequent tax audits. Further, the findings revealed that privately owned SMEs, primarily ran by persons in their mid-30s are flexible with an average workforce of nine employees. Furthermore, SMEs were found to generate feasible profits and fulfill tax compulsions by paying an average tax rate. Moreover, the double hurdle regression model shown that age and profits have negative effect on tax payments, and higher household size of SMEs owners are associated with higher tax payments. Additionally, publicly owned enterprises positively comply with tax. Therefore, given these findings, this study recommends to policymakers to streamline tax procedures and develop a platform to discuss tax rates with tax payers before implementing the planned tax obligations.

Nubians Are Baganda from Bombo: Unpacking the Luwalo Tax Protests and the Nubian Identity Crisis in Colonial Buganda (1891-1940)

This study challenges the dominant narrative that the 1940 Luwalo tax protests in Buganda were solely a result of the Nubians' militant and uncompromising nature. Instead, it posits that these protests were deeply rooted in unresolved identity issues imposed on the Nubian community by British colonial authorities since their arrival in Uganda in the 1890s. By examining the 1940 protest and the subsequent arrest and imprisonment of Nubian protesters, the research raises critical questions about the politics of colonial identity construction and deconstruction. It investigates why some Nubians resisted the payment of native taxes while others complied, the minimal press coverage of the protests, and the role of colonial tax policies, such as the Luwalo tax, in reshaping Nubian identity. Additionally, the study highlights the often-overlooked role of Nubian women in these protests. A historical research methodology was employed, utilizing both primary and secondary sources, including government documents, colonial correspondences, and newspapers, to uncover the broader socio-political context of the protests. Oral histories, gathered through interviews with 5 surviving Nubian elders and 9 of their descendants, provided valuable insights into identity struggles and the impact of colonial policies. This combination of archival research and oral history offers an elaborate analysis of how colonial tax policies influenced Nubian identity, contributing to the broader narrative of resistance and identity preservation within the community

Influence of Micro, Small & Medium Enterprises Taxpayer Compliance Factors in Bandung

The Indonesian State Revenue and Expenditure Budget (APBN) is primarily funded by taxes. There are 65.5 million micro, small, and medium-sized enterprises (MSMEs) in Indonesia, making them a sector with a significant potential to assist with tax payments. In order for MSMEs to actively participate in taxation, the government continues to provide various facilities. The Indonesian tax self-assessment system, on the other hand, grants the taxpayer authority to determine the amount of tax owed, which necessitates the taxpayer's awareness and complete compliance. As a result, research was conducted on the factors that influence MSME taxpayer compliance, using tax knowledge, taxpayer awareness, and taxpayer motivation as the variables. Using a purposive sampling strategy, this study selected 100 MSMEs from Bandung with diverse industrial backgrounds and characteristics as the sample population. This study employs quantitative and explanatory analysis methods, as well as a questionnaire as the research medium. PLS-SEM was also used for analysis, and two assessments, the measurement model (validity) and the structural model assessment, were performed. This study found that taxpayer awareness has no significant impact on tax compliance, while tax literacy and taxpayer motivation have a significant impact. Accurate tax reporting and payment are supported by solid literacy. Because taxpayers are unaware of government losses, their awareness has less of an impact. Compliance is largely driven by internal and external motivation

Pengaruh Minimasi Pajak, Mekanisme Bonus dan Exchange Rate terhadap Transfer Pricing dengan Komite Audit sebagai Variabel Moderasi

Transfer pricing is a transaction of goods and services between several divisions in a business group at unreasonable prices, either by increasing or decreasing prices, mostly carried out by multinational companies that carry out cross-border activities. The aim, first, is to manipulate the amount of profit so that tax payments and dividend distributions are low. Second, inflating profits to polish financial reports. The country lost trillions of rupiah due to the transfer pricing practices of foreign companies in Indonesia. This research aims to obtain empirical evidence of the influence of Tax Minimization, Bonus Mechanisms, and Exchange Rates on Transfer Pricing. This research uses secondary data with a sample of mining companies for 2019-2022 on the IDX for 4 years. The result obtained is that Tax minimization variables have a significant effect on transfer pricing and the audit committee strengthens this effect, while the bonus mechanism and exchange rate have no effect on transfer pricing and the audit committee does not strengthen the effect.

Discussion on the Application of Trust Assets in Estate Tax Payment According to the Latest Interpretation from the Ministry of Finance-Starting from the Ministry of Finance's Directive No. 11300533430 dated June 14, 2024

Discussion on the Application of Trust Assets in Estate Tax Payment According to the Latest Interpretation from the Ministry of Finance-Starting from the Ministry of Finance's Directive No. 11300533430 dated June 14, 2024

ANALISIS KEPATUHAN PAJAK PENGHASILAN PASAL 21, PASAL 23 DAN PASAL 4 AYAT 2 PADA PT ABC TAHUN 2023

This research aims to analyze PT's compliance. ABC, a company that provides hotel information services, against Indonesian tax regulations. The main focus is on payment and reporting of Periodic Tax Returns for PPh Article 21, PPh Article 23, and PPh Article 4 paragraph 2. Apart from that, this research also aims to identify problems faced by the Accounting Services Office (KJA) which is responsible for this aspect. corporate taxation. The research method used is descriptive qualitative using primary data consisting of Periodic Tax Returns, proof of payment, as well as equalization documents for PPh Article 21, PPh Article 23, and PPh Article 4 paragraph 2 PT. ABC and secondary data from interviews with two informants, namely supervisors and senior staff at KJA. The research results show that overall, PT. ABC was less compliant in fulfilling their tax obligations in the three aspects investigated. Several cases of delays in tax payments and reporting were found, as well as corrections in tax calculations carried out by PT. A B C. Delays in submitting data and changes in data that are not immediately reported as well as a long payment application process within the company are problems faced by the Accounting Services Office (KJA) as a tax consultant for PT. A B C.

THE INFLUENCE OF DEBT COVENANT, PROFITABILITY, BONUS PLAN, AND EXCHANGE RATE ON TAX AVOIDANCE WITH TRANSFER PRICING AS AN INTERVENING VARIABLE IN RAW GOODS SECTOR COMPANIES ON THE INDONESIAN STOCK EXCHANGE

In companies operating in the Raw Goods Sector that are publicly traded on the Indonesian Stock Exchange, the objective of this research is to determine how debt covenants, profitability, bonus plans, and exchange rates influence transfer pricing. Furthermore, the study seeks to ascertain the impact of transfer pricing, equity markets, debt covenants, profitability, and compensation schemes on tax evasion within the Raw Materials Sector of Indonesian Stock Exchange-listed companies. The research methodology employed in this study is associative research. The subject of investigation is the raw materials industry on the Indonesia Stock Exchange throughout the period from 2018 to 2022. The population for this study consists of 96 companies registered on the Indonesia Stock Exchange in the primary consumer products industry, spanning from 2018 to 2022. The research employed a purposive sampling strategy. This research consisted of a sample size of 23 firms. The data analysis technique is facilitated by the utilization of a specific tool, namely Statistical Product and Service Solution (SPSS) version 26. The research findings indicate that the variables of debt covenant, bonus plan, exchange rate, and transfer pricing do not have any impact on tax avoidance. However, profitability is found to have a negative influence on tax avoidance. Debt covenant, profitability, bonus plan, and exchange rate do not impact transfer price. In addition, transfer pricing is unable to reconcile debt covenants, profitability, compensation schemes, and the impact of exchange rates on tax evasion.. Indonesia as a country that has many companies that have been successful at the national and international levels can increase sources of state revenue. As the company's profit rises, the corresponding tax payment also grows. This forms the basis for companies to employ tax evasion tactics in order to reduce their tax obligations. This study investigates the factors that influence tax evasion

PENGARUH SOSIALISASI PAJAK DAN KUALITAS PELAYANAN PAJAK PERPAJAKAN TERHADAP KEPATUHAN WAJIB PAJAK DALAM MEMBAYAR PAJAK BUMI DAN BANGUNAN

This research aims to analyze the influence of tax socialization and tax service quality in paying Land and Building Tax in Bonto Salama Village, West Sinjai District, Sinjai Regency. The population in this study was land and building tax payers in Bonto Salama Village, West Sinjai District, Sinjai Regency, consisting of 3,269 taxpayers, while the sample was 100 taxpayers taken using the purposive sampling method, the number of which was determined using the Slovin formula. Data collection was carried out using a questionnaire in the form of a questionnaire. The data analysis used is descriptive statistical analysis, instrument testing, classical assumption testing, and hypothesis testing using SPSS v. 25 for windows. The results of this research show that Tax Socialization and Tax Service Quality influence Taxpayer Compliance in paying Land and Building Tax in Bonto Salama Village, West Sinjai District, Sinjai Regency

PENGARUH KESADARAN WAJIB PAJAK DAN PENGETAHUAN PERPAJAKAN TERHADAP KEPATUHAN WAJIB PAJAK DALAM MEMBAYAR PAJAK BUMI DAN BANGUNAN

This research aims to analyze to analyze the influence of taxpayer awareness and tax knowledge towards Taxpayer Compliance in Paying Land and Building Taxes in East Tonrokassi Village, Tamalatea District, Jeneponto Regency. The population in this research is land and building tax payers in East Tonrokassi Village, Tamalatea District, Jeneponto Regency. The population in this study was 2698 Taxpayers. while the sample was 97 taxpayers taken using a non-probability sampling technique using a purposive sampling method. Data collection was carried out using questionnaires. The data analysis used is instrument testing, classical assumption testing, and hypothesis testing using SPSS v. 25 for windows. The results of this research show that Taxpayer Awareness and Tax Knowledge influence taxpayer compliance in paying Land and Building Tax in East Tonrokassi Village, Tamalatea District, Jeneponto Regency

Особенности возбуждения уголовных дел по налоговым преступлениям, предусмотренным статьями 198 и 199 УК РФ

The article analyzes the peculiarities of the initiation of criminal cases on tax crimes. It is noted that if the facts of nonpayment of taxes by the taxpayer’s counterparties with signs of fictitiousness are revealed, the head or other officials of the taxpayer organization can be held liable for tax evasion (Articles 198, 199 of the Criminal Code of the Russian Federation) only if there is evidence of their collusion with individuals controlling the counterparty or evidence of the counterparty’s control over the head or other officials of the taxpayer organization. In the case of establishing the fictitiousness of an intermediate link, it is necessary to establish who actually exercised control over such a link, where the funds were sent, as well as other circumstances that may contribute to the identification of the final beneficiary. The conclusion is formulated that the initiation of criminal cases after full payment of taxes is not allowed. Timely payment of the additional amounts excludes bringing a person to criminal responsibility. The initiation of a criminal case, which generates unjustified threats to a person, his rights and freedoms, is disproportionate to the consequences in the case of full compensation for the damage caused to the budget system.

Awareness Of Tax In Nepal

This study analyzed the awareness of tax in Nepal. Additionally, the study seeks to address the Nepalese tax payers awareness specially on VAT and income tax. Out of total population data were collected by 630 participants and analyzed using thematic analysis. All the data were collected using a well-structured questionnaire. For analysis and interpretation SPSS has been used. The findings of the result clearly explain that Nepalese taxpayers do not have sufficient technical knowledge and perceive the VAT and income tax system. Similarly, it was found that the majority of consumers pay tax but are less aware of VAT. Consumers avoid paying tax in Nepal as VAT tends to be high.

California dreaming: Tech media giants and the re-conception of property, commodities and tax

Tech media giants are no strangers to controversy in relation to the payment of corporate tax, such as the cases of Apple and Facebook (Meta) in Ireland, Alphabet (Google) in the UK and Amazon in Luxembourg. While the tech media giants are not the only global corporations that take advantage of international tax avoidance opportunities, this paper argues that their hypermobility and unprecedented cash assets place them especially well to take advantage of these practices. Moreover, the nature of some of the commodities, such as information, software or intellectual property that can be moved at the touch of a button; or even a simple re-conception of where the property resides can mean a state gaining or losing billions of dollars. This paper will explore how tech media giants are redefining property and commodity forms and how this allows for creative tax policies. Moreover, the conception of where immaterial commodities, such as pure information, is located (or not located) challenges tax collection strategies for the state. To explore these conceptions, this paper discusses the ideology surrounding the tech media industry, a particular brand of liberalism coined the ‘Californian Ideology’: An ideology that can sometimes be described as transgressive, but also one that may legitimise tax avoidance. The ideology gives a somewhat nebulous definition of what property is (and isn’t) and its location or non-location, thereby negating justification for taxation.

The Effect of Company Size, Profitability, Liquidity, Inventory Intensity, and Sales Growth on Tax Aggressiveness of Non-Cyclical Consumer Companies

Taxes are one source of state income which used for the welfare of society. However, the public, namely taxpayers, including companies, have not contributed to tax payments and have taken tax-aggressive actions. This research aims to determine the effect of company size, profitability, liquidity, inventory intensity, and sales growth on tax aggressiveness in non-cyclical consumer companies listed on the Indonesia Stock Exchange in 2019–2022. This research uses secondary data and selection using purposive sampling to find a research sample of 55 companies for the 2019–2022 period. The results of research using SmartPLS show that the company size variable has a positive effect on tax aggressiveness. Meanwhile, profitability, liquidity, inventory intensity, and sales growth have no effect on tax aggressiveness.

Legal conditions for the imposition of income taxes - taxation at source and in the country of residence

Withholding tax collection has an undoubted advantage in that the tax is paid shortly after the income has been made available to the taxpayer (paid by the payer). Withholding tax can be treated as a kind of advance payment of income tax. With this method, the taxpayer is obliged to declare the amount of income earned in the annual tax return and has the right to reduce (reduce) the amount of tax due resulting from this tax return by the amount of withholding tax. We refer to tax collected at source as 'creditable withholding tax'. Alternatively, the withholding tax collected at source may be the final withholding tax. In such a case, the recipient of the income (taxpayer) is released from the obligation to submit a tax return and from the obligation with respect to the amount of tax withheld. Withholding taxes are usually levied at a fixed rate that is applied to revenue (not income), which means that no tax-deductible costs or the taxpayer's personal situation (earning capacity) are taken into account. Therefore, it can be concluded that taxes collected at source are cedular taxes.