The role of taxpayer awareness, tax regulation and understanding in taxpayer compliance

Abstract

The purpose of this study is to provide an insight into the government's need for sustainable socialization on the importance of paying taxes. This study also aims to analyze the taxpayer's awareness, whether it can mediate the knowledge and understanding of tax regulations on taxpayer compliance or not. The approach in this study is quantitative, with taxpayers as the respondents. The results show that knowledge and understanding of tax regulation and awareness of taxpayers simultaneously contribute to taxpayer compliance. Also, indirectly, knowledge and understanding of tax regulation in the society through the awareness of taxpayer do not have significant influence on tax compliance. Based on the questionnaire, the people have not fully mastered the tax administration using information technology and they have not fully realized the importance of paying taxes for the progress of the nation, due to the different demographic background. This study offers a new understanding and a better perspective of the influence of knowledge, understanding, and awareness of taxpayer compliance. The results will be useful for academics, communities, and governments as they are related to the subject of this study.

Quality of Tax Services, Moderated by Trust in State Internal Revenue Service and Voluntary Tax Compliance Behaviour among Individual Taxpayers in South-West, Nigeria

“…This negates the findings of Nugroho and Zulaikha (2012); Vadde and Gundarapu (2012) while it reaffirms the findings of Abdul-Razak and Adafula (2013). The quality of tax services has significant factors on voluntary tax compliance, which is in line with the studies of Rahayu et al (2017); Nsubuga, Sai, and Naatu (2017) and Al-Maghrebi, Ahmad, and Palil (2016).…”

“…The findings from the study showed that taxpayers' awareness has a positive mediating effect on tax ID number expediency, service quality and tax payer's compliance while it has a negative mediating role on the relationship between tax knowledge, tax socialisation and tax payer's compliance. In addition, Rahayu, Setiawan, and Troena (2017) examined the roles of taxpayers' awareness, tax regulation and understanding and influences on taxpayers' compliance. The findings from the study showed that knowledge and understanding of tax regulations and tax awareness of the tax laws by tax payers made a significant contribution to tax payers' compliance but did not have significant influence on compliance.…”

Pemahaman Perpajakan, Kepercayaan Kepada Pemerintah, Kualitas Pelayanan dan Kepatuhan Wajib Pajak Kendaraan Bermotor

“…Semakin kompleks tingkat pemahaman wajib pajak terkait ketentuan yang ada maka ketaatannya dalam menjalankan kewajiban perpajakan akan semakin bertambah. Peraturan perpajakan juga berpengaruh terhadap kepatuhan dimana kontribusi pemahaman yang didasarkan atas peraturan perundang-undangan memiliki sifat yang memaksa (Yayuk et al, 2017). Hasil yang berbeda diperoleh dalam penelitian Arisandy (2017) dan Pebrina & Hidayatulloh (2020) yang menunjukan bahwa pemahaman peraturan perpajakan tidak berpengaruh pada kepatuhan wajib pajak.…”

Procedure Easy Analysis, Effective Verification, Good Service on Taxpayer Awareness and Compliance

“…The substance of monitoring is to make certain that AR conveys the philosophy and regulations that are quintessential to the Tax Provisions and Procedures to taxpayers. Taxpayer compliance is carefully associated with the offerings furnished by tax provider officers (Yayuk, Ngesti et al, 2017) due to the fact all activities and things to do of tax carrier officers noticeably affect taxpayer compliance. AR as one part of the service of the tax office has a function as a liaison between the Directorate General of taxes and taxpayers so that it greatly affects the protection of nation revenues (Rachmawan et al, 2020)…”