Does Tax Simplification Motivate Small Businesses to be More Compliant? Evidence from a Regression Discontinuity in Indonesia

Datos Bibliográficos

ID8416474
AutoresAgung Satyadini (0000-0003-4027-3006, Australian National University), Arifin Rosid (0000-0002-0304-1575, University of Indonesia)
Año2024
Volumen60
Número2
Páginas217-238
Fecha de publicación2024-05-03
Peer ReviewedSí
Open AccessSí
TipoARTICLE
RevistaBulletin of Indonesian Economic Studies (JOURNAL)
Identificadores de la revistaISSN: 0007-4918 • E-ISSN: 1472-7234
EditorialInforma UK Limited (PUBLISHER • GB)
DOI10.1080/00074918.2023.2252746
OpenAlexW4386482060
IdiomaEN
Citas recibidas1
Referencias citadas43

This research investigates how the tax simplification program in Indonesia affects tax compliance among small businesses. This study employs a regression discontinuity design and examines various parameters of tax compliance. The results indicate that tax simplification does not significantly influence tax payment behaviour. However, it does have a positive effect on overall tax compliance, as evidenced by increased reporting frequency and decreased penalties. Investigation of the heterogeneous treatment impact reveals a considerable variation in treatment effects across geographic areas and internet accessibility. Taxpayers located in areas with decent internet connectivity and proximity to the tax office appear to benefit more from the program's implementation

Business · Economics · Endowment · Payment · Political science · Public economics · Regression discontinuity design · The Internet · Accounting · Computer Science · Corporate Taxation and Avoidance · Finance · Gender, Labor, and Family Dynamics · Law · Taxation and Compliance Studies