scholarly journals FORMAL TAX COMPLIANCE IN INDONESIA THROUGH ELECTRONIC TAX FILING: A CASE STUDY OF MICRO, SMALL, AND MEDIUM ENTERPRISES (MSMEs)

2021 ◽  
Vol 5 (1) ◽  
Author(s):  
Alzhar Valentino Erdiansyah ◽  
Khoirunurrofik Khoirunurrofik
Keyword(s):  
Small And Medium Enterprises ◽  
Tax Compliance ◽  
Small Scale ◽  
Tax Returns ◽  
Directorate General ◽  
Business Size ◽  
Base Transceiver Station ◽  
Medium Enterprises ◽  
Filing Rate ◽  
Tax Filing

The implementation of electronic tax filing provides convenience to taxpayers in reporting their annual tax returns. The adoption of this policy, especially for micro, small and medium enterprises, is illustrated through the number of MSME taxpayers who report Electronic Annual Tax Return to the number of MSMEs registered as taxpayers. Increases have not followed annual increases in the number of MSME taxpayers who report Annual Tax Return. We investigated the possible correlation between business size and formal tax compliance use: data from the Directorate General of Taxes at the province level in Indonesia for 2014 – 2018. We employed the aggregate business-level Micro, Small, and Medium electronic tax filing data combined with the Base Transceiver Station data at the provincial level. We found that micro and small-scale taxpayers e – filing rate has a positive and significant effect on formal tax compliance. Yet, both of them have a non-linear relationship to formal tax compliance. These results imply that size or business scale MSME taxpayers is associated with formal tax compliance, and greater benefits can be obtained in a province with a high microscale taxpayer's e – filing rate.

scholarly journals Analisis Dampak Tax Morale Terhadap Kepatuhan Pajak UMKM: Studi Kasus Kota Semarang

2018 ◽  
Vol 1 (1) ◽  
pp. 14
Author(s):  
Muslimah Mahmudah ◽  
Deden Dinar Iskandar
Keyword(s):  
Small And Medium Enterprises ◽  
Tax Compliance ◽  
Binary Logistic Regression ◽  
Primary Data ◽  
Binary Logistic Regression Analysis ◽  
Ethical Business ◽  
Tax Morale ◽  
Business Size ◽  
Medium Enterprises ◽  
The Impact

This study aims to analyze the impact of tax morale on Micro, Small, and Medium Enterprises (MSMEs) tax complianceSemarang City as the case study. This study uses primary data generated from 117 samples of MSMEs in Semarang. Data analysis is performed  using binary logistic regression analysis. The results showed that environmental, institutional, ethical, business, and business size variables significantly influence MSMEs tax compliance. On the other hand, variables whose effect on tax compliance is not statistically significant include happiness, religiosity, gender, age, education, and marital status.

scholarly journals The Effects of Tax Education on Government Revenue Collection: The Case of Small and Medium Enterprises in Morogoro Municipality, Tanzania

2021 ◽  
pp. 28-41
Author(s):  
Ezra Ndubula ◽  
Emmanuel Matiku
Keyword(s):  
Survey Methodology ◽  
Small And Medium Enterprises ◽  
Tax Compliance ◽  
Tax Reforms ◽  
Revenue Collection ◽  
Tax Returns ◽  
Tax Education ◽  
High Level ◽  
Medium Enterprises ◽  
Descriptive Survey

The efficient and effective tax education to SMEs in developing countries like Tanzania is critical to overcome the challenges of tax compliances. Despite the trend of tax reforms in Tanzania since 1998, the effects of tax education on Small and Medium Enterprises (SMEs) are still poor and many SMEs still see taxation process and cost as constraints to SMEs’ successes (Adam, 2012; Masanja, 2019). The study employed deductive approach, exploratory and descriptive survey methodology. The respondents involved 96 SMEs owners of Morogoro Municipality and four (4) TRA Education Department employees. The data collection tools involved the use of purposeful distributed questionnaires and interviews. The Statistical Package for Social Sciences (SPSS) was used to analyze data. The scope was to produce the frequency tables (Kothari, 209; Mbalwowa, 2014). To determine if the provision of tax education has resulted in tax compliance among SMEs, the results shown that to large extent there were high level of incompliancy on: timeliness for tax payment, voluntary tax payment, use of EFDs, issuance of fiscal receipts and online filing of tax returns. Therefore, the main attributing factors of tax incompliancy have been associated with tax education. The study recommends: to evaluate the tax education programs on revenue collection, complements information technology to disseminate tax education, carry out relational or causal studies of tax education on tax compliances across different demographic characteristics in Tanzania. More importantly, to promote a shift from the tax being assessed by TRA to self-tax assessment among SMEs through tax education program.

scholarly journals Tingkat Kepatuhan Wajib Pajak UMKM Di Jawa Timur, Indonesia

2018 ◽  
Vol 10 (2) ◽  
pp. 88-108
Author(s):  
Setiadi Alim Lim ◽  
Lilik Indrawati
Keyword(s):  
Income Tax ◽  
Small And Medium Enterprises ◽  
Tax Compliance ◽  
Large Contribution ◽  
Annual Income ◽  
Identification Number ◽  
The World ◽  
Tax Returns ◽  
State Income ◽  
Medium Enterprises

Micro, small and medium-sized enterprises play an important role in national economic development in many countries around the world. Micro, small and medium-sized enterprises have a large contribution to GDP (Gross Domestic Product), the supply of employment and exports of a country. Although it has a large contribution to the national economy, the contribution of micro, small and medium-sized enterprises to the state income from the tax sector is very small. There is a tendency for voluntary tax compliance from micro, small and medium- sized enterprises to be very low. This research aims to study the level of micro, small and medium-sized enterprises of tax compliance in East Java, Indonesia. To measure the level of tax compliance, 3 indicators are used, namely the ownership of the Taxpayer Identification Number (TIN), compliance with paying Income Tax and compliance to fill out and report the Annual Income Tax Return. The results showed that the level of tax compliance in micro, small and medium enterprises in East Java, Indonesia was still very low. Micro, small and medium-sized who have a Taxpayer Identification Number (TIN) is only 37.80%, those who pay Income Tax are only 21.95% and those who fill and report Annual Income Tax Returns of only 18,29%.

scholarly journals PEMBINAAN KEPATUHAN PERPAJAKAN USAHA MIKRO, KECIL DAN MENENGAH KOTA DEPOK MELALUI WORKSHOP PENGISIAN SURAT PEMBERITAHUAN PAJAK PENGHASILAN

2021 ◽  
Vol 3 (2) ◽  
pp. 133-136
Author(s):  
Selvi . ◽  
Indra Sumarna ◽  
Alief Ramdhan
Keyword(s):  
Income Tax ◽  
Small And Medium Enterprises ◽  
Tax Compliance ◽  
Tax Rates ◽  
Preliminary Survey ◽  
Tax Returns ◽  
Small Medium Enterprises ◽  
Medium Enterprises

The reduction of tax rates for Micro, Small and Medium Enterprises (MSMEs) is actually to provide convenience to business actors in exercising their tax rights and obligations. However, the preliminary survey conducted by researchers shows that there are still many business actors who do not carry out tax obligations because of their ignorance of taxation. Therefore, the development of tax compliance for MSME actors begins with providing workshops on filling out Income Tax Returns to 20 MSMEs in Depok City by the collaboration with the Department of Cooperatives, Small Medium Enterprises and Market of Depok. The method is carried out by giving lectures, demonstrations, income tax calculation exercises and filling of Income Tax Return. The results of the implementation show that as many as 18 MSMEs can calculate up to filling in Income Tax Return

scholarly journals Tingkat Kepatuhan Wajib Pajak Umkm Di Jawa Timur, Indonesia

2019 ◽  
Vol 10 (2) ◽  
pp. 88-108
Author(s):  
Setiadi Alim Lim ◽  
Lilik Indrawati
Keyword(s):  
Income Tax ◽  
Small And Medium Enterprises ◽  
Tax Compliance ◽  
Large Contribution ◽  
Annual Income ◽  
Identification Number ◽  
National Economic ◽  
Tax Returns ◽  
State Income ◽  
Medium Enterprises

Micro, small and medium-sized enterprises play an important role in national economic development in many countries around the world. Micro, small and medium-sized enterprises have a large contribution to GDP (Gross Domestic Product), the supply of employment and exports of a country. Although it has a large contribution to the national economy, the contribution of micro, small and medium-sized enterprises to the state income from the tax sector is very small. There is a tendency for voluntary tax compliance from micro, small and medium- sized enterprises to be very low. This research aims to study the level of micro, small and medium-sized enterprises of tax compliance in East Java, Indonesia. To measure the level of tax compliance, 3 indicators are used, namely the ownership of the Taxpayer Identification Number (TIN), compliance with paying Income Tax and compliance to fill out and report the Annual Income Tax Return. The results showed that the level of tax compliance in micro, small and medium enterprises in East Java, Indonesia was still very low. Micro, small and medium-sized who have a Taxpayer Identification Number (TIN) is only 37.80%, those who pay Income Tax are only 21.95% and those who fill and report Annual Income Tax Returns of only 18,29%.

ANALISIS FAKTOR-FAKTOR YANG MEMPENGARUHI TAX COMPLIANCE TERHADAP PENYAMPAIAN SPT TAHUNAN WAJIB PAJAK ORANG PRIBADI

2019 ◽  
Vol 3 (2) ◽  
pp. 19
Author(s):  
Mela Cyntia Sani ◽  
Khuznatul Zulfa Wafirotin ◽  
Ika Farida Ulfa
Keyword(s):  
Behavioral Control ◽  
Linear Regression Analysis ◽  
Tax Compliance ◽  
Multiple Linear Regression Analysis ◽  
Primary Data ◽  
Analysis Method ◽  
Online Systems ◽  
Tax Returns ◽  
Directorate General ◽  
The Government

Individual Taxpayers (WPOP) experience problems every year due to difficulties in filling out SPT. The Directorate General of Taxes issued a new policy in providing easy Notification Services (SPT) using online systems namely e-Filling and e-SPT. The policy taken by the government turned out that there were still many obstacles faced by the KPP Pratama Ponorogo Tax Office regarding ponorogo's lack of understanding related to filling out SPT manually or online using e-SPT and e-Felling. So that this certainly can make taxpayers object to the submission of Annual Tax Returns, especially in terms of calculating the tax payable which must be calculated on its own. Data collection is done by using primary data in the form of questionnaires. The samples processed in this study were 100 respondents who were distributed to individual taxpayers registered at KPP Pratama Ponorogo. Data analysis method uses validity test and reliability test, hypothesis testing using multiple linear regression analysis. The results of this study indicate that the awareness of taxpayers, taxpayer intentions, taxpayer attitudes, subjective norms, behavioral control and ease of tax return filling process affect Tax Compliance (tax compliance) submission of Annual Tax Returns. This is because taxpayers know, understand and implement taxation provisions correctly and voluntarily so as to increase taxpayer compliance in fulfilling their obligations and are willing to report taxes with their own awareness.

A Study on the Analytics Tool Used in Decision Making at Small and Medium Enterprise

2015 ◽  
Vol 3 (1) ◽  
Author(s):  
Vivek N. Bhatt
Keyword(s):  
Decision Making ◽  
Business Intelligence ◽  
Small And Medium Enterprises ◽  
Small Scale ◽  
Know How ◽  
Decision Making Styles ◽  
Routine Basis ◽  
Medium Enterprise ◽  
Decision Making Processes ◽  
Medium Enterprises

The article focuses on the study of prevailing decision making styles of Small Scale Industrial (SSI) Units. It presents data collected from 200 SSI units from Bhavnagar – a coastal city of Gujarat, India. The objective of writing the article is to depict heuristic decision patterns of small and medium enterprises, and the rare use of analytical or statistical business intelligence tools in decision making processes. It would be interesting to study the design of decision taken on routine basis in small units, poorly equipped with technology and technical know-how. The paper is descriptive in terms, and lays a lucid picture of present decision making processes.

Technical efficiency and its determinants in the Indian textile garments industry

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Abdulla ◽  
Shiv Kumar
Keyword(s):  
Panel Data ◽  
Technical Efficiency ◽  
Textile Industry ◽  
Small And Medium Enterprises ◽  
Stochastic Frontier ◽  
Efficiency Score ◽  
Value Chains ◽  
Small Scale ◽  
Content Type ◽  
Medium Enterprises

Purpose This paper aims to examine technical efficiency and its determinants in Indian textile garments industry in post-agreement on textiles and clothing regime and evaluate the technical efficiency among micro, small and medium enterprises (MSMEs) firms. Design/methodology/approach This study uses unbalanced panel data for the period 2005–2010 to 2015–2016. The stochastic frontier function is used to estimate technical efficiency and its determinants. Findings The results show that the overall ecosystem of textile garments’ value chains could be improved to enhance the technical efficiency thereof. The result also reveals that small-scale firms have the highest technical efficiency scores, and medium-scale firms have the least technical efficiency score among all the categories of MSMEs. Research limitations/implications The textile garments industry needs to define its innovation strategies, as these strategies lead to different results that can be achieved only through the management of resources dedicated to the generation and implementation of innovations. Practical implications This study has shown that to offset India’s cost disadvantage in the international markets, there is a need to develop an ecosystem of textile manufacturing and value chains, eliminate the inverted duty structure (where inputs are taxed at a higher rate than the final product) and switch over from shuttle looms toward shuttle-less looms. This would unleash the potential of textile and garments industry and make it globally competitive and technically efficient. Further, there will be an alignment with the ease of doing business with an appropriate mix of policy, technology, institution, infrastructure, information and services. Originality/value Using frontier production function takes stochastic context into account for the dynamic character of technical efficiency and its components. Most of the past studies have assessed technical efficiency at the aggregate level using three-digit National Industrial Classification (NIC) or four-digit NIC code. An analysis at higher levels of aggregation masks the variation in technical efficiency. This study used five-digit NIC data to measure the firm-specific technical efficiency of the textile industry. According to the authors’ knowledge, this study is the first of its kind in the Indian textile industry using stochastic frontier approach and panel data. Further, it also looks at the contribution of different determinants in technical efficiency to the firms.

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