The Influence of Tax Rates, Taxpayer Awareness, Taxpayer Knowledge and Understanding, and Tax Sanctions on Taxpayer Compliance as MSMEs in the West Surabaya Region

Abstract

The government seeks to improve the regulation of Income Tax from businesses (MSMEs) obtained by WP (Taxpayer) OP (Individual) in PP (Tax Regulation) Number 23 Year 2018 with a tax rate of 0.5% of sales per month. Previously, the government set a tax rate of 1% of sales in accordance with PP Number 46 of 2013. Therefore, researchers conducted this research because of the frequent emergence of business centers and offices that attract the attention of outside communities so that there is a very high increase in MSMEs whether it is commensurate with taxpayer compliance as MSME actors in the West Surabaya area. This research was also conducted to determine the effect of tax rates, taxpayer awareness, taxpayer knowledge and understanding, and tax sanctions on taxpayer compliance as MSME actors in the West Surabaya region as measured by validity tests, reliability tests, multicollinearity tests, normality tests, heteroscedasticity tests, multiple linear analysis, and parameter significance tests/partial tests (t tests) and coefficient of determination tests (R²). In addition, this study uses quantitative methods with hypothesis testing using multiple linear regression statistical analysis with SPSS Version 26. This research data collection method uses random sampling. A total of 100 MSME taxpayers in West Surabaya who will fill out the questionnaire. The results of this study indicate that the variables of the effect of tax rates and taxpayer awareness do not have a significant effect on tax compliance. Meanwhile, the variables of taxpayer knowledge and understanding affect taxpayer compliance.