THE INFLUENCE OF TAX FAIRNESS AND TAX COMPLEXITY TOWARD THE LEVEL OF INDIVIDUAL INCOME TAX COMPLIANCE IN THE AREA OF CIKARANG

Abstract

Tax is one of the highest revenue received by the state. It is expected that there will be awareness and discipline from the people to fulfill the obligation to pay taxes. There are many cases of tax evasion, because some citizens don't have enough understanding about taxation and feel the tax system is not fair. This study aims to determine whether there is influence of tax fairness and tax complexity significantly affects tax compliance. The population of this study are individual taxpayers in KPP Pratama Cikarang Selatan. The sample of this research were 100 SMEs in Cikarang. In this study, research methodology that used is quantitative analysis with primary data. To test the influences and the hypothesis, this research used multiple regression to test the significance influence between dependent and independent variable. The results showed that the influence of tax fairness have a significant positive effect toward tax complexity, while tax complexity has no significant influence to tax compliance. The R-square of the first model (multiple linear regression) in this study is 0,254 or 25.4%.