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Journal : Journal Of World Science

The Effectiveness of Article 21 Corporate Income Tax Revenues Using Progressive Calculation Based on the Average Effective Rate (AER) in 2023–2024 Muhammad Rufi; Mustofa Ahmad Yunus; Moh. Yudi Mahadianto; Asep Basuki
Journal of World Science Vol. 4 No. 8 (2025): Journal of World Science
Publisher : Riviera Publishing

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.58344/jws.v4i8.1471

Abstract

Taxes serve as the primary source of state revenue and play a strategic role in financing national development and public services. This study aims to evaluate the effectiveness of income tax (PPh) Article 21 collection by corporate taxpayers, particularly following the implementation of the Average Effective Tax Rate (TER) policy in 2024. The policy was introduced to simplify the previously applied progressive tax structure, with the expectation of improving administrative efficiency and taxpayer compliance. Employing a descriptive qualitative approach, data were collected through interviews, observations, and documentation at the Cirebon Satu Primary Tax Office (KPP Pratama Cirebon Satu). The results reveal that the introduction of TER has not yet led to an increase in tax revenue. On the contrary, there was a significant decline of over 33% in PPh Article 21 receipts during the first year of implementation. This decrease is attributed to limited understanding among corporate taxpayers regarding the new TER scheme, insufficient technical outreach, and systemic difficulties in adjusting payroll calculations.
Co-Authors Abu Bakar, Hatinah Acep Komara Agung Yulianto Agustin, Sefhia Al Qaushar, Mukhamad Ravi Razabi Amelia Ramadhani , Ratu Rossa Ana Putri Fauziah Andika Linggar Hardika Andrianto, Galih Apri Dwi Astuti Aprillia Wulan Da Fasha Arinal Muna Aripin, Rifky Akbar Asep Basuki Asep Basuki Astillero, Marlon Rael Astri Harfiandita Aulia, Lingga Afrilla Azahra, Fatima Azhaar Kamilia Azizah, Dini Ayu Nur Bachrudin Syahroni Dea Dwi Pratiwi Dedi Muhammad Siddiq Dini Ayu Nur Azizah Edy Hartono Enceng Yana Etika Karimatul Fuziani Fariani Siregar , Nelia Fariani, Nelia Fasha, Aprillia Wulan Da Fatihah, Salsabila Rizqy Febrian, Vickry Febriyani, Diana Feny Risqi Yanti Fitiriyanti, Putri Ayu Delia Galant, Narwastu Vivaldi Handoyo, Vonny Apriliani Hannah Faulia Havik Martoyo Hidayat, Firman Himawan, Michelle Zefanya Indah Permatasari Janah, Nada Nur Jannah, Wildaniyahtul Kamilia , Azhaar Karimatul Fuziani , Etika Ken Sudarti Lesmana, Fernando Yoga Lingga Afrilla Aulia Lutfiyanah, Pepi Mada Purwanto W.N Mada Purwanto Wahyu Nugroho Mamat, Mazlina Mardi Mardi Mardi Mardi Mardi Mardi Maulady, Parah Melia Nur Maulida Melita, Nia Muhammad Rufi Munandar, Irwansyah Mustofa Ahmad Yunus Nelia Fariani Siregar Niken Anindita Murti Nita, Kiki Novi Purnama Dewi Nurazizah, Dian Nurfadhilah, Sarah Naflah Nurfadilah, Gia Nurhidayati Nurhidayati Nurul Alifah Paulus Sugianto Yusuf Pradita, Ranti Pratama, Wahyudi Pratiwi, Dea Dwi Putri Amalia Putri, Sarifhatul Aini Yuliyus Radiyansyah, Riki Rahma, Indah Athifa Ramlah Puji Astuti Ramlah Puji Astuti Ratu Rossa Amelia Ramadhani Rima Maulina Rini Susiani Rissa Nur Aisy Ro’atinah Ro’atinah rohayati rohayati Ryana Noer Kholiazmi Safitri, Auliya Siska Ernawati Fatimah Siti Nur Hadiyati Siti Nurjanah Srisuk, Prattana Subagja, Muhammad Rafli Suci Nuraeni Supriyanto Illyas Syafdinal Syafdinal Syahroni, Bachrudin Tasyana Tika Septiani Utami, Syita Dwi Wahyu Nugroho, Mada Purwanto Wahyudi Pratama Widodo, Widodo Wijaya, Steven Natanael Yudistira, Elip Zahrazova, Bilqis Saffana