Income Tax Installment Incentive Article 25 "Not Attractive for Entrepreneurs?"
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Keywords

COVID-19
Tax Article 25
Tax Incentives

How to Cite

Zulhaimi, H., & Adi Prawira, I. F. (2021). Income Tax Installment Incentive Article 25 "Not Attractive for Entrepreneurs?". Asia Proceedings of Social Sciences, 8(2), 126-129. https://doi.org/10.31580/apss.v8i2.1936

Abstract

The COVID-19 pandemic has led to a decline in economic growth and tax receipts. To overcome this, the government has implemented a policy by provided provision of tax installment incentives on pph article 25. However, the absorption incentive is not in line with the government's expectations. This study analyzes the factors that cause the low absorption of tax installment incentives article 25. This research is qualitative study with an interpretive paradigm with phenomenological method. The research data comes from literature review, news and survey results of business people and the general public as taxpayers. The research find there are several factors that cause the utilization of the article 25 income tax incentive did not reach the target, namely: Economic conditions are still weak, level of beneficiary taxpayers is still low, socialization by the government has not been maximized, incentive schemes are not suitable for business sectors, slowness of the rules or guidelines for the implementation of the policies at the beginning of the insetif enforcement period, policies have not been driven by ease of processing requirements, lack of public understanding of the incentive delivery mechanism, time span is too close between the issuance of policies and the enactment of policies.

https://doi.org/10.31580/apss.v8i2.1936
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