scholarly journals Social Norms and Tax Culture in Transition Countries: Case of Kyrgyzstan

2017 ◽  
Author(s):  
Raziya Abdiyeva
Keyword(s):  
Social Norms ◽  
Tax Evasion ◽  
Negative Attitude ◽  
Tax Compliance ◽  
Financial Resources ◽  
Tax Revenue ◽  
Government Performance ◽  
Kyrgyz Republic ◽  
Social Reforms ◽  
Tax Morale

Taxes are the main financial resource of government. Performance of tax system depends on the willingness of taxpayers to pay taxes or tax morale. Government can use deterrence instruments as tax penalty and size of detection. But socio-psychological factors as attitudes of community towards tax behavior of social norms related taxation can manage and regulate tax compliance more effectively than deterrence instruments. In transition economies as Kyrgyzstan government needs more financial resources to implement economic and social reforms, to decrease poverty and achieve sustainable development. Nowadays government seeks ways to increase tax revenue. Also in the project of the Conception of Fiscal Policy in Kyrgyz Republic for 2015-2020 developed by Ministry of Economy increasing tax morale, tax awareness and consciousness is stated one of the main tasks. Tax morale and tax compliance of taxpayers’ influenced by attitude of community, family and occupational group to taxes. Negative attitude of society to tax evasion can effectively regulate tax evasion and stimulate tax compliance. The aim of this research is to reveal social norms in Kyrgyzstan and to analyze how they influence on tax behavior.

scholarly journals Tax Consciousness in Kyrgyzstan

2016 ◽  
Author(s):  
Raziya Abdiyeva ◽  
Tolkun Zhumakunova
Keyword(s):  
Transition Economies ◽  
Probit Model ◽  
Psychological Factor ◽  
Financial Resource ◽  
Capital City ◽  
Financial Resources ◽  
Tax Revenue ◽  
Government Performance ◽  
Main Role ◽  
Social Reforms

Taxes are the main financial resource of government. Performance of tax system depends on the willingness of taxpayers to pay taxes or tax morale. Government can use deterrence instruments as tax penalty and size of detection. But socio-psychological factor as tax consciousness play one of the main role in the tax behavior. Tax consciousness means that taxpayer is aware about taxes that paid, knows what taxes are and how tax revenue is used. So tax consciousness is important in the forming of tax behavior and also in the improving democracy by increasing public control on public finance. In transition economies as Kyrgyzstan government needs more financial resources to implement economic and social reforms, to decrease poverty and achieve sustainable development. Nowadays government seeks ways to increase tax revenue. In this paper author aim to analyze tax consciousness of taxpayers in Kyrgyzstan using the questionnaire conducted in 2013 in the capital city of Kyrgyzstan in Bishkek. Factors that affect tax consciousness will be analyzed with probit model.

scholarly journals Withholding System PPh Pasal 23 Menggunakan Microsoft Visual Basic.Net

2018 ◽  
Vol 4 (1) ◽  
Author(s):  
Suhartono Suhartono ◽  
Abdul Hamid ◽  
Rame Santoso
Keyword(s):  
Human Resources ◽  
Tax Evasion ◽  
Income Tax ◽  
National Development ◽  
Third Parties ◽  
The State ◽  
Financial Resources ◽  
Tax Revenue ◽  
The People ◽  
State Finance

ABSTRACT - Sustainable national development from year to year to improve the lives and welfare of the people, requires the support of human resources, natural resources and huge financial resources. There are many financial resources that can be obtained by the state, one of them through taxes. Article 23 Income Tax as a source of state finance has problems in the process of cutting, depositing and reporting. An error occurring in the process may result in a deficiency in the amount of tax that should be deposited into the state treasury so as to prejudice and reduce state revenues. One method for managing tax payable taxpayers in order to enter the state treasury is to use the withholding system, in which the state authorizes third parties to deduct or levy the amount of tax payable by the taxpayer. There are many examples of cases that occur in tax evasion, where taxpayers pay little of their obligations to tax elements to enrich themselves and only a few are deposited into the state treasury. It takes good coordination and cooperation between related institutions and agencies so that leakage and tax evasion can be eliminated so that tax revenue can be increased. Keywords: Withholding, System, PPh, Article 23, Visual Basic.Net

scholarly journals When tax practitioners file their personal tax returns: Do attitude, social norms, and perceptual control matter?

2021 ◽  
Vol 9 (3) ◽  
pp. 50
Author(s):  
Siti Nurfarhana Mohamad Dzulkifli ◽  
Seri Ayu Masuri Md Daud
Keyword(s):  
Tax Evasion ◽  
Tax Avoidance ◽  
Tax Compliance ◽  
Sampling Technique ◽  
Tax Revenue ◽  
Self Assessment ◽  
Tax Practitioners ◽  
Compliance Behavior ◽  
Tax Returns ◽  
Personal Tax

Tax revenue is a key source of income for most countries in the world. To maximize tax revenue, it is critical that taxpayers comply with relevant tax laws particularly in a self-assessment filing system. Alas, many countries are still grappling with tax evasion or even tax avoidance issue. A key challenge is tax compliance behavior remains a complex and perplexing topic. While a lack of tax knowledge is pertinently attributable to unintentional non-compliance, the causes of intentional non-compliance are far from clear. This study aims to investigate the factors associated with intentional tax non-compliance by ruling out the variation in tax knowledge explanation. In so doing, this study employs a sample of respondents deemed conversant with tax knowledge. More specifically, this study surveys 104 tax practitioners in Malaysia using a convenience sampling technique and utilizes the theories of planned behavior and free trait to explore how they behave when filing their personal tax returns. The findings suggest only subjective norms is significantly linked to their tax compliance behavior. This study extends the literature on the role of individual factors on tax compliance behaviour among tax practitioners acting in a different persona.

Introduction

2018 ◽  
Author(s):  
Sven H. Steinmo
Keyword(s):  
United States ◽  
Tax Evasion ◽  
Tax Compliance ◽  
The United States ◽  
Tax Revenue ◽  
State Institutions ◽  
Political Cultures ◽  
History Of ◽  
The Government ◽  
Treat All

Why are some people more willing to pay their taxes than others? In some countries the government is able to collect more than 90% of the taxes it is owed, while in other countries more than 30% of tax revenue goes missing due to tax evasion. This book explores this question by examining the fiscal history of five different democratic nations: Sweden, Britain, Italy, the United States, and Romania. This chapter introduces the book and draws out the central themes introduced in the substantive chapters. Drawing on these rich historical chapters, the introduction shows that successful states have developed strong administrative capacities, treat all taxpayers fairly, and deliver value for the monies they collect. This chapter argues that differences in tax compliance across countries is not explained by different political cultures, but is instead explained by differences in the efficacy of state institutions and the ways they have interacted with their citizens.

scholarly journals The Informal Sector, the “implicit” Social Contract, the Willingness to Pay Taxes and Tax Compliance in Zimbabwe

2021 ◽  
Vol 0 (0) ◽  
Author(s):  
Favourate Y Sebele-Mpofu
Keyword(s):  
Social Contract ◽  
Informal Sector ◽  
Tax Evasion ◽  
Tax Compliance ◽  
Structure Design ◽  
Mixed Method Research ◽  
Structured Interviews ◽  
African Countries ◽  
Tax Morale ◽  
Tax Revenues

Abstract The growth of the informal sector in African countries has largely been viewed as an escape from regulation and deliberate intention to avoid paying taxes and these views have been widely popularised, ignoring significant details to the disadvantage of realistic tax policy design. Zimbabwe adopted a presumptive tax system for various informal sector categories to enlarge the tax base and increase tax revenues mobilised. However, presumptive taxes have not generated significant revenue. Tax compliance in the informal sector has often been studied from the tax structure design, the deterrence model perspective and capacity limitations without paying adequate attention to tax morale. Tax morale can be denoted through the peer effect of the compliance behaviour of other taxpayers, the fulfilment of the psychological social contract, transparency and accountability in the use of tax revenues as well as stakeholder communication, built on mutual trust and respect. In light of these tax morale dimensions, it is evident that tax compliance can never be divorced from the intrinsic motivation to pay taxes. The inextricable link, between tax evasion, tax compliance and tax morale, motivates this study. While previous studies on tax morale have applied single method research approaches, this study adopted a sequential exploratory mixed method research design, combining both qualitative and quantitative (through the use of document reviews, semi-structured interviews and questionnaires) in order to bring a balanced view. The study found out that tax morale was a strong driver of tax evasion and non-tax compliance in the informal sector.

scholarly journals Life Satisfaction and Tax Morale in Azerbaijan: Mediating Role of Institutional Trust and Financial Satisfaction

2021 ◽  
Vol 13 (21) ◽  
pp. 12228
Author(s):  
Orkhan Nadirov ◽  
Khatai Aliyev ◽  
Bruce Dehning ◽  
Ilaha Sharifzada ◽  
Rafiga Aliyeva
Keyword(s):  
Life Satisfaction ◽  
Tax Evasion ◽  
Large Scale ◽  
Tax Compliance ◽  
Mediating Effect ◽  
Policy Implications ◽  
Institutional Trust ◽  
Financial Satisfaction ◽  
Tax Morale ◽  
Mediating Role

This paper examines the relationship between life satisfaction (measured as the self-reported satisfaction of each individual with their past life and goal achievements) and tax morale (measured as the likelihood of an individual’s intrinsic motivation to pay taxes). Using a large-scale survey dataset from Azerbaijan, it is documented that life satisfaction is positively associated with tax morale. Life satisfaction plays a significant role in increasing tax compliance practices. It is also important to note that there is a positive mediating effect of life satisfaction on tax morale through financial satisfaction and institutional trust. In line with our hypotheses, the results of a series of analyses remain robust to different models. These results imply that a higher level of life satisfaction may increase the proportion of individuals who report the highest tax morale in Azerbaijan. Our findings have policy implications for Azerbaijan and other governments aiming to alleviate high levels of tax evasion.

scholarly journals Persepsi Wajib Pajak Mengenai Penggelapan Pajak, Keadilan Sistem Perpajakan Dan Tax Amnesty Pada Kepatuhan Perpajakan

2021 ◽  
Vol 31 (12) ◽  
pp. 3207
Author(s):  
Ni Ketut Lely Aryani Merkusiwati ◽  
I Gusti Ngurah Agung Suaryana
Keyword(s):  
Tax Evasion ◽  
Initial Level ◽  
Tax Compliance ◽  
Sampling Technique ◽  
Simple Random Sampling ◽  
Sem Analysis ◽  
Tax Revenue ◽  
Tax Amnesty ◽  
The North ◽  
Taxation System

Taxes are the main source of state revenue. Individual taxpayers (WP) have a low contribution to tax revenue in Bali Province. Taxpayer data at the North Badung Pratama Tax Service Office (KPP) explains that there is a delay in submitting the annual SPT, although every year it has begun to decrease. This condition indicates a non-compliant attitude of the WP. This study aims to analyze the effect of perceptions of tax evasion, tax justice, Tax Amnesty on tax compliance. The sample in the study was determined by simple random sampling technique. The number of research samples is 100 taxpayers. PLS SEM analysis. The results showed that the higher the perception of tax evasion, the greater the tax non-compliance. The perception of fairness of the taxation system has no effect on tax compliance. The more taxpayers carry out Tax Amnesty, the smaller the initial level of compliance with the tax system. Keywords : Tax evasion; Fairness of the Taxation System; Tax Amnesty; Tax Compliance.

scholarly journals Tax compliance and behavioural response in South Africa: an alternative investigation

2013 ◽  
Vol 10 (3) ◽  
pp. 357-370 ◽  
Author(s):  
Zurika Robinson ◽  
Rebone Gcabo
Keyword(s):  
South Africa ◽  
South African ◽  
Tax Evasion ◽  
Tax Compliance ◽  
Expected Utility Theory ◽  
Tax Revenue ◽  
Awareness Campaigns ◽  
Tax Amnesty ◽  
Revenue Collection ◽  
Specific Tax

Taxpayer behaviour has in South Africa moved to the forefront of the investigation of revenue collection with regular tax awareness campaigns being launched by the South African Revenue Service (SARS). Issues relating to tax amnesty and the contribution of the informal sector (second economy) to tax revenue have become important. This paper attempts to find explanations, be they economic or psychological, for taxpayer behaviour in South Africa. Factors influencing tax evasion and ultimately collection targets are thus examined. A questionnaire was designed to determine how individuals, in this case a sample of students, respond when filing taxes. Each question frames a scenario to invoke a specific tax regime. The paper’s unique findings show, generally, that behaviour is to a large extent determined by economic factors, specifically inequality as predicted by the expected utility theory. This theory also successfully predicts 50 per cent of the responses to the control questions. The remaining 50 per cent are explained by combined economic and psychological factors, modelled by the prospect theory. This is significant considering the fact that the results were generated within a developing and not a developed context as is the case in most studies of this type.

scholarly journals A Psychometric Investigation of the Personality Traits Underlying Individual Tax Morale

2019 ◽  
Vol 19 (3) ◽  
Author(s):  
Nicolas Jacquemet ◽  
Stéphane Luchini ◽  
Antoine Malézieux ◽  
Jason F. Shogren
Keyword(s):  
Tax Evasion ◽  
Rational Choice Theory ◽  
Individual Preference ◽  
Tax Compliance ◽  
Cognitive Empathy ◽  
Moral Emotions ◽  
Moral Judgments ◽  
Tax Morale ◽  
Trade Offs ◽  
Compliance Behavior

AbstractWhy do people pay taxes? Rational choice theory has fallen short in answering this question. Another explanation, called “tax morale”, has been promoted. Tax morale captures the behavioral idea that non-monetary preferences (like norm-submission, moral emotions and moral judgments) might be better determinants of tax compliance than monetary trade-offs. Herein we report on two lab experiments designed to assess whether norm-submission, moral emotions (e.g. affective empathy, cognitive empathy, propensity to feel guilt and shame) or moral judgments (e.g. ethics principles, integrity, and moralization of everyday life) can help explain compliance behavior. Although we find statistically significant correlations of tax compliance behavior with empathy and shame, the economic significance of these correlations are low–—more than 80% of the variability in compliance remains unexplained. These results suggest that tax authorities should focus on the institutional context, rather than individual preference characteristics, to handle tax evasion.

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