The Role of Taxation Education on Taxation Knowledge and Its Effect on Tax Fairness as well as Tax Compliance on Handicraft SMEs Sectors in Indonesia

Abstract

This study aims to analyze the role of taxation education on the tax knowledge and its impact on tax fairness and tax compliance of handicraft SME sector in Indonesia. The unit of analysis is handicraft SMEs businessman located in the district / city in the province of East Java, Indonesia. The type of data is primary data obtained through a questionnaire technique. Samples were obtained from a population sample that is taken with a multistage method with simple random sampling technique. While the data analysis method used is the analysis of Structural Equation Modeling by using Partial Least Square.The study provides conclusions, namely; tax education has a positive and significant impact on tax knowledge, tax knowledge has a significant and positive effect on tax fairness, tax fairness has a significant positive effect on tax compliance and tax knowledge has a significant and positive effect on tax compliance. Based on these results, the strengthening of the tax education is very important in shaping the tax knowledge, so that it can increase tax compliance. In this case the tax socialization efforts can be done through the dissemination of information about the types of taxes, tax rates, and tax payment mechanisms.

The Effectiveness of the “Tax Telling” microsite in Improving Tax Knowledge of Senior High School Students

“…The "Tax Telling" microsite is the program to educate student about tax [1] [11]. This study aims to determine the effectiveness of the "Tax Telling" microsite in improving tax knowledge of senior high school students.…”

“…The researchers proved that the higher taxation socialization will increase taxpayer knowledge and understanding. It can expand tax knowledge and taxpayer's understanding [11] [5]. The researcher is [5] which states that tax socialization has a direct influence on the understanding of taxpayers.…”

Transformasi Budaya Organisasi Otoritas Perpajakan Indonesia Menghadapi Era Ekonomi Digital

“…Berbagai penelitian terdahulu terkait isu-isu perpajakan pada umumnya memfokuskan pada bagaimana memformulasikan ketentuan dan regulasi terkait peningkatan kepatuhan dengan berbagai upaya seperti penegakan hukum (law enforcement) (Leviner, 2008;Tanko, 2015), diseminasi pengetahuan perpajakan kepada masyarakat (Mukhlis et al 2015;Wong, 2015) berbagai diskursus terkait penghindaran pajak berikut berbagai upaya untuk melakukan penangkalan terhadap praktik penghindaran pajak tersebut (Rahayu, 2010;Chuenjit, 2014;Lipniewicz, 2017;Adoe dan Tambunan, 2018). Namun, penelitian dan diskursus terkait bagaimana transformasi institusi otoritas pajak yang dimotori oleh perubahan budaya organisasi dan kepemimpinan dengan memperhatikan konteks hadirnya era ekonomi digital sebagai faktor penting belum cukup masif.…”

Causes and Effects of Failure to File Annual Returns in Developing Countries Based on the Theory of Planned Behavior and Economic Deterrence Theory

“…[7] in their study on determinants of tax compliance concluded that tax knowledge of taxpayer can be equipped and enhanced through education. [8] conducted a study on the role of taxation education on taxation knowledge and its effect on tax fairness as well as tax compliance on Handicraft SMEs Sectors in Indonesia. The study revealed the existence of a positive and significant relationship between tax education on tax knowledge and tax compliance.…”