Low awareness of tax obligations

Oct 13, 2025 by leolavanderia.com.br 68 views

The Level of Taxpayer Compliance in Payment of Resisting Taxes in the Medan City Revenue Service

Introduction

The Medan City Revenue Service is responsible for collecting taxes from various sources, including restaurant taxes. However, the level of taxpayer compliance in paying restaurant taxes in Medan is still a challenge. This article aims to discuss the factors that contribute to this low level of compliance and propose solutions to improve it.

The Importance of Taxpayer Compliance

Taxpayer compliance is crucial for the Medan City Government to generate revenue, which is essential for the development and welfare of the people in the city. The level of compliance has a direct impact on the local revenue, and a low level of compliance can hinder the city's progress. Therefore, it is essential to identify the factors that contribute to low taxpayer compliance and implement strategies to improve it.

Factors Contributing to Low Taxpayer Compliance

Several factors contribute to low taxpayer compliance in paying restaurant taxes in Medan. These factors include:

Low awareness of tax obligations: Many restaurant owners are not aware of their tax obligations, which leads to non-compliance.
Lack of education and socialization: Restaurant owners may not have access to information about tax regulations, which makes it difficult for them to comply.
Lack of supervision and sanctions: Insufficient supervision and sanctions for non-compliant taxpayers create an environment where non-compliance is tolerated.
Complexity of tax regulations: The tax regulations can be complex, making it difficult for restaurant owners to understand and comply.

Solutions to Improve Taxpayer Compliance

To improve taxpayer compliance, the Medan City Government can implement the following solutions:

Increased Education and Socialization

Sustainable education: The Medan City Government should run an educational and socialization program on a sustainable manner regarding the importance of paying restaurant taxes and how to calculate them. This program can be done through seminars, workshops, and dissemination of educational materials that are easily understood by restaurant businesses.
Utilization of Information Technology: Digital Platform Development that facilitates access to information and restaurant tax payment processes can increase taxpayer compliance. This platform can provide information about tax regulations, simulation tax calculation, and ease in the reporting process and tax payments.

Increased Supervision and Law Enforcement

Increasing Resources: The Medan City Revenue Service needs to increase the amount and quality of human resources in charge of supervision and law enforcement. This is important to ensure effective and consistent supervision.
Increasing the use of technology: Application of technology such as Tax Management Information Systems (SIMP) can increase the efficiency of supervision and law enforcement. Simp enables real-time monitoring to restaurant tax payments and early detection of potential violations.
Effective sanctions: The application of strict and proportional sanctions for taxpayers who are not compliant are important to provide a deterrent effect. Sanctions applied must be transparent and widely published to be known by all taxpayers.

Increased Tax Service Ease

Online Tax Services: Improvement of online tax services that use user-friendly and will quickly increase taxpayer compliance. This service can include online registration, online SPT filling, and online tax payments.
Increasing coordination: Increasing coordination between relevant agencies, such as the Tourism Office and the Office of Cooperatives and SMEs, can increase the effectiveness of services and information related to restaurant tax.

Empowerment of Taxpayers

Discussion and Sharing Forum: The Medan City Government can facilitate discussion and sharing forums between restaurant taxpayers to exchange information and experience about taxation.
Incentive Program: Appreciation and incentives for obedient taxpayers can encourage participation and compliance in paying restaurant taxes.

Conclusion

The level of taxpayer compliance in paying restaurant taxes in Medan is still a challenge. However, by implementing the solutions proposed in this article, the Medan City Government can improve taxpayer compliance and increase local revenue. This, in turn, will have a positive impact on the development and welfare of the people in the city of Medan.

Recommendations

Based on the analysis and solutions proposed in this article, the following recommendations are made:

The Medan City Government should prioritize education and socialization programs to increase awareness of tax obligations among restaurant owners.
The Medan City Revenue Service should increase the amount and quality of human resources in charge of supervision and law enforcement.
The Medan City Government should improve online tax services and increase coordination between relevant agencies to increase the effectiveness of services and information related to restaurant tax.
The Medan City Government should facilitate discussion and sharing forums between restaurant taxpayers to exchange information and experience about taxation.
The Medan City Government should implement an incentive program to encourage participation and compliance in paying restaurant taxes.

By implementing these recommendations, the Medan City Government can improve taxpayer compliance and increase local revenue, ultimately improving the welfare of the people in the city of Medan.
Frequently Asked Questions (FAQs) about Taxpayer Compliance in Medan City

Q: What is the current level of taxpayer compliance in Medan City?

A: The current level of taxpayer compliance in Medan City is still a challenge. Many restaurant owners are not aware of their tax obligations, and the lack of education and socialization, supervision, and sanctions contribute to low compliance.

Q: What are the main factors contributing to low taxpayer compliance?

A: The main factors contributing to low taxpayer compliance in Medan City include:

Low awareness of tax obligations
Lack of education and socialization
Lack of supervision and sanctions
Complexity of tax regulations

Q: What are the consequences of low taxpayer compliance?

A: The consequences of low taxpayer compliance include:

Reduced local revenue
Hampered development and welfare of the people in Medan City
Increased burden on compliant taxpayers

Q: What are the proposed solutions to improve taxpayer compliance?

A: The proposed solutions to improve taxpayer compliance in Medan City include:

Increased education and socialization
Increased supervision and law enforcement
Increased tax service ease
Empowerment of taxpayers

Q: How can the Medan City Government improve taxpayer compliance?

A: The Medan City Government can improve taxpayer compliance by:

Prioritizing education and socialization programs
Increasing the amount and quality of human resources in charge of supervision and law enforcement
Improving online tax services and increasing coordination between relevant agencies
Facilitating discussion and sharing forums between restaurant taxpayers
Implementing an incentive program to encourage participation and compliance

Q: What are the benefits of improving taxpayer compliance?

A: The benefits of improving taxpayer compliance in Medan City include:

Increased local revenue
Improved development and welfare of the people in Medan City
Reduced burden on compliant taxpayers

Q: How can restaurant owners contribute to improving taxpayer compliance?

A: Restaurant owners can contribute to improving taxpayer compliance by:

Participating in education and socialization programs
Registering and paying taxes on time
Reporting any changes in their business operations
Providing feedback and suggestions to the Medan City Government

Q: What are the next steps for the Medan City Government to improve taxpayer compliance?

A: The next steps for the Medan City Government to improve taxpayer compliance include:

Implementing the proposed solutions
Monitoring and evaluating the effectiveness of the solutions
Making adjustments as needed
Continuously improving and refining the tax system

Q: How can the public get involved in improving taxpayer compliance?

A: The public can get involved in improving taxpayer compliance by:

Providing feedback and suggestions to the Medan City Government
Participating in education and socialization programs
Supporting the implementation of the proposed solutions
Encouraging restaurant owners to comply with tax regulations

Conclusion

Improving taxpayer compliance in Medan City is crucial for the development and welfare of the people in the city. By understanding the factors contributing to low compliance and implementing the proposed solutions, the Medan City Government can improve taxpayer compliance and increase local revenue. The public can also play a role in improving taxpayer compliance by providing feedback and suggestions, participating in education and socialization programs, and supporting the implementation of the proposed solutions.