Analysis Of The Implementation Of Tax Amnesty As A Mechanism To Reduce Tax Evasion

Abstract

The tax amnesty program has been running to implement the mandate of the Law of the Republic of Indonesia Number 11 of 2016. This program is an effort by the Indonesian government to boost state revenue in the tax sector in order to strengthen state revenue. This is important because more than 80% of state revenue comes from the tax sector. Tax amnesty policies are intended to reclaim unpaid taxes from underground economic activities or dishonest tax reporting (tax fraud). So this study aims to analyze the implementation of Tax amnesty as an effort to reduce tax evasion. This study uses a qualitative approach with descriptive research data analysis. The result of this research is that the implementation of Tax Amnesty in Indonesia is basically intended for the short term to increase state revenue through tax revenues, while the long term is to attract funds from Indonesian citizens abroad to Indonesia to increase liquidity which is useful for stabilizing economic growth in Indonesia. The implementation of the tax amnesty does not escape various obstacles, ranging from lack of socialization, not yet standardized information, complicated bridging to poor service quality. The conclusion of the research in reducing the occurrence of tax evasion through tax amnesty can be done with Offshore voluntary disclosure and reduction of tariffs and tax penalties.