Understanding Tax Morale of Micro, Small, and Medium Enterprises in Jabodetabek
- 10.2991/assehr.k.210531.058How to use a DOI?
- Tax Morale, Tax Compliance, MSME, SEM
This study aims to identify the factors determining the tax morale of Micro, Small, and Medium Enterprises (MSME). The study is pertinent because MSME account for 60% of Indonesia’s GDP yet they contribute only 0.67% to tax revenue. One reason for this low level of tax revenue is low tax morale. Tax morale refers to the intrinsic motivation of taxpayers with regard to paying taxes. The population in the research is MSME in Jakarta, Bogor, Depok, Tangerang, and Bekasi (Jabodetabek). Multistage sampling is used as the sampling technique. A total of 217 nonagricultural-sector MSME participated in this study. The results of the Structural Equation Modeling (SEM) analysis, which incorporated the SmartPLS program, show that sentiments toward tax, trust in the tax authority, perception of public goods, and attitude toward punishment positively affect the tax morale of MSME in Jabodetabek and will play a role in influencing the willingness of taxpayers to pay.
- © 2021, the Authors. Published by Atlantis Press.
- Open Access
- This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Cite this article
TY - CONF AU - Benny Irawan AU - Khoirunurrofik Khoirunurrofik PY - 2021 DA - 2021/05/31 TI - Understanding Tax Morale of Micro, Small, and Medium Enterprises in Jabodetabek BT - Proceedings of the Asia-Pacific Research in Social Sciences and Humanities Universitas Indonesia Conference (APRISH 2019) PB - Atlantis Press SP - 449 EP - 457 SN - 2352-5398 UR - https://doi.org/10.2991/assehr.k.210531.058 DO - 10.2991/assehr.k.210531.058 ID - Irawan2021 ER -