Taxing Micro, Small and Medium Enterprises in Yogyakarta: Regulation and Compliance
The Special Region of Yogyakarta is a region with prominent Micro, Small, and Medium Enterprises (MSMEs) actors in Indonesia. This invites the important question of whether the implementation of the new MSMEs tax regulations in the region impacts the intensification of final income tax and tax compl...
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| Format: | Article |
| Language: | English |
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Faculty of Law, Universitas Sebelas Maret, Surakarta
2021-08-01
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| Series: | Bestuur |
| Subjects: | |
| Online Access: | https://jurnal.uns.ac.id/bestuur/article/view/49184 |
| _version_ | 1818647098604650496 |
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| author | Siti Rahma Novikasari Duc Quang Ly Kerry Gershaneck |
| author_facet | Siti Rahma Novikasari Duc Quang Ly Kerry Gershaneck |
| author_sort | Siti Rahma Novikasari |
| collection | DOAJ |
| description | The Special Region of Yogyakarta is a region with prominent Micro, Small, and Medium Enterprises (MSMEs) actors in Indonesia. This invites the important question of whether the implementation of the new MSMEs tax regulations in the region impacts the intensification of final income tax and tax compliance. This study aims to analyze the relationship between the amendments of the final income tax policy and the legal compliance of MSMEs taxpayers. This research uses a juridical and empirical approach. Empirical data was collected by interview and questionnaire to seven taxpayers, while juridical data was obtained by analyzing the Government Policy on taxation. This study shows that the reduction of the final income tax tariff from 1% to 0.5% and the existence of legal certainty regarding the taxation time frame implies a positive impact on taxpayer compliance. This is demonstrated by the fact that the number of taxpayers in 2019 increased by 15% when compared to 2017. However, tariff reduction is not the solution to the non-compliant taxpayer. The Regional Office of the Directorate General of Taxes still found the tax avoidance. It means the government needs to conduct a more cooperative approach to improve MSMEs taxpayer compliance |
| first_indexed | 2024-12-17T00:57:08Z |
| format | Article |
| id | doaj.art-8b943468bc474a3799505b7cbdae461d |
| institution | Directory Open Access Journal |
| issn | 2302-3783 2722-4708 |
| language | English |
| last_indexed | 2024-12-17T00:57:08Z |
| publishDate | 2021-08-01 |
| publisher | Faculty of Law, Universitas Sebelas Maret, Surakarta |
| record_format | Article |
| series | Bestuur |
| spelling | doaj.art-8b943468bc474a3799505b7cbdae461d2022-12-21T22:09:35ZengFaculty of Law, Universitas Sebelas Maret, SurakartaBestuur2302-37832722-47082021-08-01914352https://doi.org/10.20961/bestuur.v9i1.49184Taxing Micro, Small and Medium Enterprises in Yogyakarta: Regulation and ComplianceSiti Rahma Novikasari0Duc Quang Ly1Kerry Gershaneck2Faculty of Law, Universitas Islam Indonesia, Yogyakarta, IndonesiaSenior Research in German-Southeast Asian Center of Excellence for Public Policy and Good Governance, GermanSenior Research in German-Southeast Asian Center of Excellence for Public Policy and Good Governance, GermanThe Special Region of Yogyakarta is a region with prominent Micro, Small, and Medium Enterprises (MSMEs) actors in Indonesia. This invites the important question of whether the implementation of the new MSMEs tax regulations in the region impacts the intensification of final income tax and tax compliance. This study aims to analyze the relationship between the amendments of the final income tax policy and the legal compliance of MSMEs taxpayers. This research uses a juridical and empirical approach. Empirical data was collected by interview and questionnaire to seven taxpayers, while juridical data was obtained by analyzing the Government Policy on taxation. This study shows that the reduction of the final income tax tariff from 1% to 0.5% and the existence of legal certainty regarding the taxation time frame implies a positive impact on taxpayer compliance. This is demonstrated by the fact that the number of taxpayers in 2019 increased by 15% when compared to 2017. However, tariff reduction is not the solution to the non-compliant taxpayer. The Regional Office of the Directorate General of Taxes still found the tax avoidance. It means the government needs to conduct a more cooperative approach to improve MSMEs taxpayer compliancehttps://jurnal.uns.ac.id/bestuur/article/view/49184tax compliance; final income tax regulation; micro; small; medium enterprises |
| spellingShingle | Siti Rahma Novikasari Duc Quang Ly Kerry Gershaneck Taxing Micro, Small and Medium Enterprises in Yogyakarta: Regulation and Compliance Bestuur tax compliance; final income tax regulation; micro; small; medium enterprises |
| title | Taxing Micro, Small and Medium Enterprises in Yogyakarta: Regulation and Compliance |
| title_full | Taxing Micro, Small and Medium Enterprises in Yogyakarta: Regulation and Compliance |
| title_fullStr | Taxing Micro, Small and Medium Enterprises in Yogyakarta: Regulation and Compliance |
| title_full_unstemmed | Taxing Micro, Small and Medium Enterprises in Yogyakarta: Regulation and Compliance |
| title_short | Taxing Micro, Small and Medium Enterprises in Yogyakarta: Regulation and Compliance |
| title_sort | taxing micro small and medium enterprises in yogyakarta regulation and compliance |
| topic | tax compliance; final income tax regulation; micro; small; medium enterprises |
| url | https://jurnal.uns.ac.id/bestuur/article/view/49184 |
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