The Role of Tax Socialization in Strengthening Compliance Msme Taxpayers in Badung, Bali, Indonesia

Aims: This study aims to examine the compliance of MSME taxpayers with tax socialization as a moderating variable.

Study Design: Quantitative method with survey method.

Place and Duration of Study: MSME taxpayers at the Badung KPP.

Methodology: Type of data in this study is primary data. Primary data in this study was obtained with a spread questionnaire to must MSME tax. The population in this study is all MSME taxpayers at the Badung KPP is 16,559. Whereas the sample in the study is must tax persons personal which do activity business. As for Technique sampling this study use a random sampling technique. Random sampling is taking sample members from a population that is carried out randomly without regard to the strata in that population. Determination of the number of samples in this study was carried out using the Slovin formula at an error threshold of 10% so that a minimum sample size of 100 respondents was obtained. The questionnaire in this study was measured using a Likert scale of 5 points from strongly disagreeing rated 1 to strongly agree rated 5. The tax understanding variable was measured using 5 indicators; Tax socialization variable is measured by 7 indicators). The variable of taxpayer compliance is measured by 3 indicators. Researcher used moderate regression analysis for analyzing data.

Results: The taxpayer compliance of MSME actors in Badung Regency can be increased if the taxpayer understands well how knowledge of taxation aspects is in the business world, both from the effort to record transactions, calculate bills or tax burden to be paid and pay tax debt on time is directly affected by the intention to comply. However, this effort will not run optimally if there is no dissertation on the role of tax socialization. The existence of this socialization provides additional knowledge and understanding of the aspects of taxation. The results of this test indicate that tax socialization can be justified as a moderating variable for the effect of understanding taxation on taxpayer compliance of MSME actors in Badung Regency.

Conclusion: To improve related research obedience must tax MSME, the researcher provides suggestions for research, furthermore as follows: 1) Government can increase compliance must tax in making payments and reporting tax with expand socialization tax and using various media which easily reached by must tax especially MSMEs (such as Facebook, Instagram, whatsapp). 2) MSME actors in a manner aware of the importance of following tax socialization given by the government and actively supports government programs in increasing tax understanding of MSMEs especially tax incentives given for MSMEs.