Trust in Authorities and Power to Enforce Tax Compliance: An Empirical Analysis of the “Slippery Slope Framework”

Abstract

Tax payments are enhanced by taxpayers' trust in authorities or by authorities' power leading to voluntary or enforced tax compliance, respectively. A laboratory experiment and an online experiment examined these assumptions, manipulating trust in and power of authorities. In Experiment 1, participants paid taxes in twenty periods. Results showed that trust and power positively influence tax payments. Trust increases and power decreases voluntary compliance, whereas power increases and trust decreases enforced compliance. Experiment 2 analyzed the impact of trust and power with self-employed taxpayers' intentions to pay taxes. The overall pattern of the findings of Experiment 1 were replicated and expanded with strategic behavior; strategic behavior was higher in the case of low trust and high power when compared to that of high trust and high power.l apo_327 383..406

Yadnya sebagai Pemaknaan Lain atas Nilai Wajar Harta Amnesti Pajak

“…Kebijakan amnesti pajak yang diluncurkan "kuasa" diterpa berbagai isu miring terkait adanya pembe-rian "karpet merah" kepada para "pengemplang pajak" yang namanya terdapat dalam Panama Papers. Hal ini sangat beralasan, mengingat kepatuhan dalam pemenuhan kewajiban perpajakan sangat dipengaruhi oleh kepercayaan WP kepada "kuasa" (Blanthorne & Roberts, 2015;Kirchler, Hoelzl, & Wahl, 2008;Wahl, Kastlunger, & Kirchler, 2013;Prinz, Muehlbacher, & Kirchler, 2014). Pemenuhan kewajiban perpajakan dengan menggunakan self assessment system juga dipengaruhi oleh penegakan hukum yang adil dari "kuasa" kepada seluruh WP, tanpa memberikan perlakuan khusus kepada WP tertentu.…”

“…Kegagalan perwujudan kepatuhan pendekatan deterrence variable hanya mampu membangun kepatuhan secara paksaan setelah melakukan pemeriksaan dan pengenaan sanksi kepada WP. Pendekatan psikologis menjadi suatu pendekatan alternatif yang memberikan perkembangan dalam perwujudan kepatuhan sukarela (Dijke & Verbon, 2010;Wahl, Kastlunger, & Kirchler, 2013;Mas, Aziah, Manaf, & Saad, 2014). Kepatuhan sukarela merupakan niat dari hati WP untuk menaati kebijakan perpajakan termasuk kebijakan amnesti pajak.…”

Compliance costs caused by agency action? Empirical evidence and implications for tax compliance

“…According to this framework, "enforced compliance" is mainly affected by the power of the authorities and "voluntary compliance" by the trust in authorities. While a number of studies provide evidence for these hypotheses (Fischer and Schneider 2009, Wahl et al 2010, Mühlbacher et al 2011, it remains still an unsolved question of research, which factors in detail affect both dimensions of tax compliance and what is the relationship among them.…”

“…From the viewpoint of the "slippery slope" framework, this could be a result from an increased trust in authorities with a positive impact on "voluntary compliance" (Worsham 1996, Kirchler et al 2008, Wahl et al 2010). …”

Unemployment, tax evasion and the slippery slope framework

“…Indeed, empirical analysis shows that trust and power positively influence tax payments; in particular, trust increases and power decreases voluntary compliance, whereas power increases and trust decreases enforced compliance (Wahl, Kastlunger and Kirchler, 2010).…”