Sunset Policy in Local Tax (Vehicle Tax) Reviewed from Equity Principles and Its Impact on Tax Payers Compliance
- 10.2991/assehr.k.200225.013How to use a DOI?
- equity principle, optimization of local tax revenue, taxpayer compliance, sunset policy
Jakarta Provincial Government has implemented Sunset Policy Program for local tax in 2015 until 2019. This policy goals is to optimize local tax revenue in Jakarta Province. On the other hand, the implementation of this policy made contradictive effects or impact for the taxpayer’s compliance. The method of the study is qualitative with depth interview among key informants in Jakarta Province. The result of this studies is: Sunset Policy Program can lead to inequality between taxpayers who have paid honestly and on time with non-complied taxpayers. This policy can influence taxpayers to refuse to comply because in equity principle tax burdens among tax subjects should be balanced with their abilities to pay and the government is not allowed to discriminate among fellow taxpayers. In the same situations the taxpayer must be treated similarly while in different circumstances the taxpayer must be treated differently. This research illustrated that sunset policy generates inequality in tax collection and lead taxpayers refuse to comply.
- © 2020, 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 - Lisa Andayani Hasibuan AU - Milla Sepliana Setyowati PY - 2020 DA - 2020/03/03 TI - Sunset Policy in Local Tax (Vehicle Tax) Reviewed from Equity Principles and Its Impact on Tax Payers Compliance BT - Proceedings of the 2nd Social and Humaniora Research Symposium (SoRes 2019) PB - Atlantis Press SP - 57 EP - 62 SN - 2352-5398 UR - https://doi.org/10.2991/assehr.k.200225.013 DO - 10.2991/assehr.k.200225.013 ID - Hasibuan2020 ER -