Taxpayers’ perceptions on tax evasion behaviour: an empirical study in Malaysia

2017 ◽  
Vol 59 (3) ◽  
pp. 413-429 ◽  
Author(s):  
Chan Pui Yee ◽  
Krishna Moorthy ◽  
William Choo Keng Soon
Keyword(s):  
Social Exchange ◽  
Tax Evasion ◽  
Design Methodology ◽  
Tax Compliance ◽  
Assessment System ◽  
Self Assessment ◽  
Tax System ◽  
Content Type ◽  
The Government ◽  
The Relationship

Purpose The success of self-assessment tax system is voluntary compliance with the tax laws. When tax evasion is seen as unacceptable, taxpayers will tend to evade tax less. Hence, the understanding of taxpayers’ attitude on tax morality towards a tax system has to be enhanced to minimize tax evasion cases. The purposes of this study are to examine the relationship between tax fairness, tax knowledge, enforcement level and social exchange towards taxpayers’ attitude of tax morality under the self-assessment system in Malaysia and also to identify the relationship between taxpayers’ attitude of tax morality and taxpayers’ perceptions on tax evasion. Design/methodology/approach Data were collected from 400 taxpayers through a questionnaire and analysed. Findings From the analysis, it has been found out that tax knowledge is the most important tax system characteristic that affects taxpayers’ attitude of tax morality. In addition, taxpayers’ attitude of tax morality is significant to taxpayers’ perceptions on tax evasion in Malaysia. Originality/value The findings of this study would be useful for the government to further improve the present tax system to increase voluntary tax compliance.

scholarly journals PENGARUH PENGETAHUAN PERPAJAKAN TERHADAP KEPATUHAN PAJAK PADA SELF ASSESSMENT SYSTEM DI INDONESIA

2021 ◽  
Vol 16 (1) ◽  
pp. 133
Author(s):  
Arif Nugrahanto
Keyword(s):  
Statistical Tests ◽  
Tax Compliance ◽  
Influential Factors ◽  
Assessment System ◽  
Tax Revenue ◽  
Linear Regression Method ◽  
Self Assessment ◽  
Compliance Behavior ◽  
The Government ◽  
The Relationship

<p><em>In the last few decade, the government still faces the problem of low tax revenue. The low level of tax compliance is an issue that is often discussed. In the self-assessment system, the responsibility for fulfilling tax obligations lies in the taxpayer side then the knowledge and comprehension of taxation matter is very substantial. This study aims to identify the relationship between tax knowledge and tax compliance behavior. Furthermore, it also attempts to map the situation of tax knowledge and tax compliance behavior in Indonesian. Through statistical tests with the multiple linear regression method based on a survey involving 260 respondents at a national scale, it is found that knowledge related to tax regulations significantly has influenced tax compliance behavior. Moreover, stepwise regression has identified the two most influential factors, there are knowledge of tax objects and knowledge of tax penalties. In addition, the t-test and MANOVA test prove that the ownership of NPWP, education level, occupation, and income significantly influence the tax knowledge.</em></p>

scholarly journals KE (TIDAK) PATUHAN WAJIB PAJAK: POTRET SELF ASSESSMENT SYSTEM

2017 ◽  
Vol 20 (3) ◽  
pp. 280
Author(s):  
Erlina Diamastuti
Keyword(s):  
Tax Evasion ◽  
Tax Avoidance ◽  
Assessment System ◽  
The Self ◽  
Self Assessment ◽  
Tax System ◽  
Key Informant ◽  
The Government ◽  
Tax Payers

This study aims to interpretation the behavior of tax payers in carrying out his tax liability.x As we all know the tax system in Indonesia adheres to the self assessment system. In this system the government entrust all calculation, payment and reporting of tax payable on tax payers. As a result of various behaviors appear to express this practice of self assessment system The study used a non-positivistic with decriptive approche to observe phenomena that exist in the practice of taxation. The main source of data in this study are the words and actions derived from key informant as much as 5 of the 20 informants. The results of this study show that the first, self-assessment system led to the emergence of behavioral tax avoidance, tax evasion and tax arrearage. Second, self-assessment system requires an awareness not of necessity in creating a compliance and noncompliance WP led the government last act of hostage (Gijzeling)

scholarly journals Sustainability level, corruption and tax evasion: a cross-country analysis

2016 ◽  
Vol 23 (2) ◽  
pp. 328-348 ◽  
Author(s):  
Hichem Khlif ◽  
Achraf Guidara ◽  
Khaled Hussainey
Keyword(s):  
Tax Evasion ◽  
Design Methodology ◽  
Policy Implications ◽  
Content Type ◽  
Global Competitiveness ◽  
Country Analysis ◽  
Cross Country ◽  
The Relationship ◽  
Global Competitiveness Report

Purpose This paper aims to examine the relationship between the level of sustainability and tax evasion and test whether the level of corruption moderates such a relationship. Design/methodology/approach The sample consists of 65 developed and developing countries. Tax evasion is measured using a macro indirect approach used by Schneider et al. (2010). The sustainability level and corruption variables are collected from The Global Competitiveness Report for 2012-2013. Findings This study finds that the level of tax evasion is negatively associated with the level of sustainability (overall score and social and environmental score) and the quality of infrastructure. When we distinguish between low- and high-corruption countries, we find that this negative association is significant for low-corruption countries and insignificant for high-corruption countries. These results imply that the level of corruption may reduce the tendency of individuals in a given state to accept and trust their government in general and comply with the tax rules in particular. Originality/value Our empirical findings have policy implications for governments with high levels of tax evasion, as they highlight the importance of states’ engagements towards their citizens in reducing tax evasion.

scholarly journals The The Effect of Implementing Self-Assessment System on Tax Compliance for Small-Medium Enterprises (SMEs), Lembang, West Bandung District, Indonesia

2019 ◽  
Vol 7 (1) ◽  
pp. 1270-1282
Author(s):  
VICTOR CORNELIS SINAGA ◽  
JUDITH T. GALLENA SINAGA
Keyword(s):  
Economic Development ◽  
Significant Influence ◽  
Tax Compliance ◽  
Assessment System ◽  
Exploratory Research ◽  
Self Assessment ◽  
West Java ◽  
The Government ◽  
Small Medium Enterprises ◽  
Medium Enterprises

INTRODUCTION: Small-Medium Enterprises (SMEs) play a vital role in economic development of Indonesia.  To support its economic development, the government is obliged to generate revenue.  In order to generate more revenue, Indonesian government implemented self- assessment system in compliance with tax obligations.  Most of the SMEs are compliant while some are not that aware of it because of lack of socialization.  The aim of this study is to comprehend the effect of implementing self-assessment system on tax compliance.   METHOD:  This study focused on SMEs in Lembang, West Java, Indonesia.  It was exploratory research based on data were gathered from West Java Regency Office.  Questionnaires were distributed to 70 (based on Slovin formula) respondents from the total population of 244.   RESULTS: The result showed that the correlation of implementation of self-assessment system on tax compliance is weak, thus, the findings showed that implementation of self-assessment system has no significant influence on tax compliance.         DISCUSSION AND RECOMMENDATION: Implementation of self-assessment system has no significant influence on tax compliance.  There are several reasons for this, such as, most of the people around the district of Lembang are not yet fully aware about its implementation. Also, it is not well socialized by the tax authorities from the Revenue Offices.  It lacks personnel to do the socialization.  The stated reasons were affirmed during the interview with the Head of SMEs located in West Bandung Regency.   Implementation of the Self - Assessment System is worth to grab by SMEs in the district of Lembang, Bandung, Indonesia. It is highly recommended to socialize again the implementation and assign personnel that can extend time and effort to socialization.                Keywords:  SMEs, revenue, self-assessment, socialization, compliance      

Revisiting perspectives on George Homans: correcting misconceptions

2018 ◽  
Vol 24 (1) ◽  
pp. 57-75 ◽  
Author(s):  
Jeff Muldoon ◽  
Eric W. Liguori ◽  
Josh Bendickson ◽  
Antonina Bauman
Keyword(s):  
Social Exchange ◽  
Design Methodology ◽  
Social Exchange Theory ◽  
Content Type ◽  
Secondary Sources ◽  
Self Interest ◽  
Conceptual Paper ◽  
The Relationship ◽  
Work First ◽  
Common Misconceptions

Purpose This paper aims to correct some misconceptions about George Homans. Specifically, it clarifies the relationship between Homans and Malinowski, explains why Homans is rightfully considered the father of social exchange, shows Homans’ perspective on altruism and self-interest and analyses Homans’ place in management’s complex history. Design/methodology/approach This is a conceptual paper which synthesizes both primary and secondary sources on Homans, social exchange theory (SET), Malinowski and other Homans’ contemporaries and theories, which, in aggregate, help dispel some common misconceptions in the literature today. Findings This paper disperses several common misconceptions about Homans and his work. First, the findings show that beliefs that Homans was unaware of Malinowski are not justified, as Homans was not only aware of Malinowski but also significantly influenced by Malinowski’s work. Second, this manuscript clarifies that while Homans, for specific reasons, focussed on self-interest, his work accounted for altruism. Lastly, this paper also further cements Homans’ place in history as the father of social exchange. Originality/value Recent misconceptions have emerged in the literature calling to question not only Homans’ legitimacy as the father of social exchange but also some of his views on the theory itself. By clarifying these misconceptions, this paper enables scholars from a variety of management fields to better understand historical foundations of SET and its impact on current research.

scholarly journals HUBUNGAN SELF ASSESMENT SYSTEM DENGAN TINGKAT KEPATUHAN WAJIB PAJAK PADA KANTOR PELAYANAN PAJAK PRATAMA ARGAMAKMUR PROVINSI BENGKULU

2018 ◽  
Vol 6 (2) ◽  
Author(s):  
Karona Cahya Susena ◽  
Suwarni Suwarni ◽  
Joko Widianto
Keyword(s):  
Rank Correlation ◽  
Tax Compliance ◽  
Assessment System ◽  
The Self ◽  
Spearman Rank Correlation ◽  
Self Assessment ◽  
Compliance Level ◽  
Average Distribution ◽  
Relationship Of ◽  
The Relationship

The purpose of this study was to determine the relationship of tax collection with the self assessment system with the level of taxpayer compliance in the Kantor Pelayanan Pajak Pratama Argamakmur Provinsi Bengkulu. The analytical methods used are Average Distribution, Spearman Rank Correlation and Hypothesis Testing. Based on the results of the analysis that has been done, it is known that the value of rho (count) is 0.755 in the interval of interpretation of the correlation of 0.600-0.799, a strong level of relationship. This means that the relationship between the self assessment system and the level of tax compliance at the Kantor Pelayanan Pajak Pratama Argamakmur Provinsi Bengkulu is strong and the value of rho (count) is 0.755> 0.364 rho (table) so that Ho is rejected and Ha is accepted, meaning that there is a significant relationship between the self assessment system with taxpayer compliance level at the Kantor Pelayanan Pajak Pratama Argamakmur Provinsi Bengkulu.

scholarly journals DOES INTRINSIC RELIGIOSITY MODERATE BETWEEN THE SELF-ASSESSMENT SYSTEM AND TAX EVASION? A RESEARCH-BASED ON GENDER

2021 ◽  
Vol 10 (2) ◽  
pp. 123
Author(s):  
Alfriadi Dwi Atmoko
Keyword(s):  
Regression Analysis ◽  
Tax Evasion ◽  
Research Method ◽  
T Test ◽  
Assessment System ◽  
The Self ◽  
Intrinsic Religiosity ◽  
Self Assessment ◽  
Negative Effect ◽  
The Relationship

<p class="JurnalASSETSABSTRAK"><strong>ABSTRACT</strong></p><p>This study aims to examine the effect of the self-assessment system on tax evasion and the effect of intrinsic religiosity moderation on the relationship between the self-assessment system and tax evasion. This study also differences in the influence of gender on the effect of the self-assessment system on tax evasion. This research method uses moderated regression analysis (MRA) and an independent sample t-test. The results show that the self-assessment system had a negative effect on tax evasion. Meanwhile, intrinsic religiosity does not moderate the relationship between the self-assessment system and tax evasion. There are no gender differences at the level of the self-assessment system, intrinsic religiosity, and tax evasion.</p><p class="JurnalASSETSABSTRAK"><strong><em>ABSTRAK</em></strong><em></em></p><p><em>Penelitian ini bertujuan untuk menguji pengaruh self-assessment system terhadap tax evasion dan efek moderasi religius intrinsik pada hubungan self-assessment system dengan tax evasion. Penelitian ini juga menganalisis perbedaan gender pada tingkat self-assessment system, religius intrinsik dan tax evasion. Metode penelitian ini menggunakan analisis moderated regression analysis (MRA) dan independent sample t-test. Hasil penelitian menunjukkan bahwa self-assessment system berpengaruh negatif terhadap tax evasion. Religius intrinsik tidak memoderasi hubungan self-ssessment system dengan tax evasion. Tidak terdapat perbedaan gender pada tingkat self-assessment system, religius intrinsik dan tax evasion.</em></p>

scholarly journals MENINGKATKAN KEPATUHAN DAN PENERIMAAN PAJAK MELALUI WITHHOLDING TAX SYSTEM

InFestasi ◽  
2017 ◽  
Vol 12 (2) ◽  
pp. 203
Author(s):  
I Nyoman Darmayasa ◽  
Yuyung Rizka Aneswari ◽  
Elana Era Yusdita
Keyword(s):  
Tax Compliance ◽  
Assessment System ◽  
Third Party ◽  
Self Assessment ◽  
Tax Base ◽  
Tax System ◽  
Withholding Tax ◽  
Tax Payers ◽  
Economic Capacity ◽  
Method Approach

The research aimed to understand deeply about withholding tax system in Indonesia and propose taxation strategy to maximize withholding tax according to self assessment system. The research use interpretive paradigm with literature method approach. The result of the research indicate that first, tax compliance in Indonesia is still low category so it need efforts to improve. Second, with withholding tax system will assurance due tax payment because tax taker is more discipline to cut tax for tax payer. Third, withholding tax system can control effectively and efficiently to minimize examination object not for personal tax payer but for work or income giver. Fourth, through the withholding tax system, tax payers would cut taxes when the conditions of high economic capacity. Fifth, several proposals to improve the maximization WHT include expanding the tax base and direct tax cuts were not final is still possible into the final tax in the scheme of withholding tax, giving rewards to a third party who is disciplined and obedient, open access to the Direktorat Jenderal Pajak (DJP) on the banks of the effectiveness of tax policy and make the Single Identification Number (SIN) to attract new taxpayers. This study contributes to the formulation of policies Direktorat Jenderal Pajak (DJP).

scholarly journals Issues, Challenges and Problems with Tax Evasion: The Institutional Factors Approach

2016 ◽  
Vol 18 (2) ◽  
pp. 187
Author(s):  
Mohd Rizal Palil ◽  
Marlin Marissa Malek ◽  
Abdul Rahim Jaguli
Keyword(s):  
Tax Evasion ◽  
The Body ◽  
Assessment System ◽  
Institutional Factors ◽  
Self Assessment ◽  
Tax System ◽  
Body Of Knowledge ◽  
Hidden Economy ◽  
Tax Education

Tax evasion, particularly in developing countries is a debatable issue. Evasion is a disease and needs to be minimized so that the black economy or hidden economy can be mitigated. This paper attempts to reveal the determinants of tax evasion from the institutional perspectives. The objective of this study is to identify the determinants of tax evasion a decade after the introduction of a Self-Assessment System (SAS). Three institutional perspectives of the determinants of tax evasion were examined, namely the probability of being detected, the role of the tax authority and the complexity of the tax system. The results suggested that the complexity of the system, and the probability of being detected had a significant impact on tax evasion. The results of this study could possibly contribute to the body of knowledge in lieu of combating tax evasion, as well as being an input to tax administrators and policymakers into which ways the determinants can affect compliance. The findings also provide an indicator for tax administrators of the relative importance of the tax system in assisting with the design of tax education programs, simplifying tax systems and developing a wider understanding of taxpayers’ behavior.

Financial crime, corruption and tax evasion: a cross-country investigation

2018 ◽  
Vol 21 (4) ◽  
pp. 545-554 ◽  
Author(s):  
Ines Amara ◽  
Hichem Khlif
Keyword(s):  
Money Laundering ◽  
Tax Evasion ◽  
Design Methodology ◽  
Positive Relationship ◽  
Policy Implications ◽  
Financial Crime ◽  
Content Type ◽  
Financial Crimes ◽  
Cross Country ◽  
The Relationship

Purpose This paper aims to examine the relationship between the financial crime and tax evasion and tests whether corruption moderates such a relationship. Design/methodology/approach Tax evasion measure is based on Schneider et al. (2010). Financial crime is collected from Basel anti-money laundering (AML) report. Findings Using a sample of 120 countries, the authors find that the level of financial crime is positively associated with tax evasion. When testing for the moderating effect of corruption, they document that the positive relationship between financial crime and tax evasion is more pronounced for high corrupt environments. Originality/value The findings have policy implications for governments aiming to combat tax evasion and financial crimes.

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