INTERNATIONAL JOURNAL OF ECONOMIC LITERATURE (INJOLE)
Vol. 2 No. 5 (2025): INTERNATIONAL JOURNAL OF ECONOMIC LITERATURE (INJOLE)

TAX AND COMMUNITY EMPOWERMENT: THE IMPACT OF TAX CUTS PROGRAMMES FOR VULNERABLE GROUPS

Erwin (Universitas Tanjungpura)
Loso Judijanto (IPOSS Jakarta, Indonesia)
Melyana R Pugu (Universitas Cenderawasih)
Al-Amin (Universitas Airlangga, Surabaya, Indonesia)
Hadenan Towpek (Universiti Teknologi Mara Cawangan Sarawak, Malaysia)



Article Info

Publish Date
12 Feb 2026

Abstract

Taxes and community empowerment are closely related in the context of tax cut programmes aimed at vulnerable groups. A tax cut is a reduction in tax burden granted by the government to certain individuals or groups to increase their disposable income. In vulnerable groups, which usually include low-income individuals, the elderly, and those in difficult economic conditions, tax cuts aim to reduce financial hardship and improve access to basic needs such as food, health, and education. The method used in this research uses the literature research method. The results show that the tax cut programme can significantly contribute to improving the welfare of vulnerable groups by increasing disposable income and reducing economic burden. However, the effectiveness of this programme is highly dependent on proper policy design, efficient implementation, and the government's ability to maintain fiscal balance. Focused and well-structured programmes tend to achieve better results in terms of community empowerment compared to generic or overly broad programmes. In addition, community involvement and transparency in programme implementation are also key factors in ensuring success and accountability. The study concludes that with proper planning and execution, tax deduction programmes can be an effective tool in empowering vulnerable groups and improving socio-economic welfare more broadly.

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Journal Info

Abbrev

INJOLE

Publisher

Subject

Description

INTERNATIONAL JOURNAL OF ECONOMIC LITERATURE (INJOLE) is a scientific journal that publishes articles in the Business field includes conceptual ideas in the fields of Economics, Accounting, Management, business. The scopes are Human Resource Management, Marketing Management, Financial Management, ...