Proceedings of the 1st International Conference on Research in Social Sciences and Humanities (ICoRSH 2020)

Evaluation of the Implementation of the PPh 25 Scheme on Taxpayers of Certain Personal Enterprises in According to Government Regulation Number 23 of 2018 in Efforts to Improve Tax Compliance at MSMEs in South Tangerang

Authors
Budy Setyawan*, dosen01453@unpam.ac.id, Sukarno
Diploma 3, Accounting Study Program of Faculty of Economy, Universitas Pamulang, Jl. Surya Kencana, No. 1, South Tangerang, Indonesia, 15417
Corresponding Author
Available Online 16 November 2021.
DOI
10.2991/assehr.k.211102.040How to use a DOI?
Keywords
Compliance; Final Income Tax; MSMEs; PPh 25
Abstract

According to the Directorate General of Taxes (Directorate General of Taxes), the Ministry of Finance stated that up to now, there are only a few Micro, Small and Medium Enterprises (MSMEs) registered as taxpayers. There are at least 1.8 million taxpayers of MSMEs registered until 2019 (Movanita, 2019). There are still many UMKM players who do not yet have compliance in carrying out their tax obligations. This study aims to evaluate the tax compliance of certain individual taxpayers (WPOP) using general tax rates, PPh 25 at a rate of 0.75%, which can be credited at the end of the tax year. In connection with a reduction in the Final Income Tax rate from 1% to 0,5% with the issuance of Government Regulation (PP) Number 23 of 2018. Specific Entrepreneur Individual Taxpayers (WPOP) are also prepared to be more orderly and disciplined in maintaining their bookkeeping to compile their financial reports to determine the tax payable using the PPh 25 scheme more precisely. Especially for Certain Entrepreneur WPOPs who already have a turnover of more than IDR 4,800,000,000 in one tax year. The method used is the Field Research Method by going directly to the field. The data were obtained by observation, documentation, and direct interviews of SMEs actors Individual Taxpayers (WPOP) Certain Entrepreneurs in South Tangerang City and through secondary data through literature studies. This type of research is a qualitative descriptive study. Qualitative descriptive research is a series of activities to obtain data that is what it is, the results of which emphasize more on meaning (Sugiyono, 2016). Here, the researcher uses a qualitative descriptive research method because it explores the phenomenon of increasing tax compliance and the bookkeeping process of individual entrepreneurs in South Tangerang. The results showed the application of the PPh Article 25 Scheme on the WPOP of Certain Entrepreneurs by PP Number 23 of 2018 at Tangerang Selatan City MSMEs registered at KPP Pratama Serpong. KPP Pratama Pondok Aren is not optimal because taxpayers tend to use a Final PPh rate of 0.5% and not increase the level of compliance of certain employers’ WPOP.

Copyright
© 2021 The Authors. Published by Atlantis Press SARL.
Open Access
This is an open access article under the CC BY-NC license.

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Volume Title
Proceedings of the 1st International Conference on Research in Social Sciences and Humanities (ICoRSH 2020)
Series
Advances in Social Science, Education and Humanities Research
Publication Date
16 November 2021
ISBN
978-94-6239-448-3
ISSN
2352-5398
DOI
10.2991/assehr.k.211102.040How to use a DOI?
Copyright
© 2021 The Authors. Published by Atlantis Press SARL.
Open Access
This is an open access article under the CC BY-NC license.

Cite this article

TY  - CONF
AU  - Budy Setyawan
AU  - Sukarno
PY  - 2021
DA  - 2021/11/16
TI  - Evaluation of the Implementation of the PPh 25 Scheme on Taxpayers of Certain Personal Enterprises in According to Government Regulation Number 23 of 2018 in Efforts to Improve Tax Compliance at MSMEs in South Tangerang
BT  - Proceedings of the 1st International Conference on Research in Social Sciences and Humanities (ICoRSH 2020)
PB  - Atlantis Press
SP  - 337
EP  - 345
SN  - 2352-5398
UR  - https://doi.org/10.2991/assehr.k.211102.040
DO  - 10.2991/assehr.k.211102.040
ID  - Setyawan2021
ER  -