Strategies to Improve Taxpayers’ Compliance of Indonesian Micro Small and Medium Enterprises: PRISMA Approach

Asep Heri Hermanto (School of Business Management, Institut Teknologi Bandung)

Indonesian Treasury Review: Jurnal Perbendaharaan, Keuangan Negara dan Kebijakan Publik
Vol 7 No 2 (2022): Indonesian Treasury Review: Jurnal Perbendaharaan, Keuangan Negara dan Kebijakan

This research aims to examine what strategies that can increase the MSME's taxpayer's compliance level, both in terms of the amount of payment and tax return. Increasing payment and tax returns from MSME taxpayers will increase the MSMEs Taxpayer' tax compliance level. Through analyzing various literature on improving taxpayer compliance, the author found several factors that influence taxpayer compliance in carrying out their tax obligations, including Taxpayer Awareness, Perception of the Effectiveness of the Taxation System, Tax convenience, and Tax sanctions. Efforts that the Directorate General of Taxes must make to improve MSME taxpayer compliance are by lowering tax rates, Conduct socialization and education evenly to all places regarding what taxes are, report, and pay taxes, Provide excellent service in serving taxpayers, and Imposing tax sanctions fairly to all taxpayers who are negligent in carrying out their tax obligations.