Legal Review of Taxpayer Compliance in Paying Land and Building Tax

Abstract

This study aims to analyze the factors that influence the level of community compliance in paying land and building tax in Tropodo Village, Waru Sub-district, as well as to analyze the efforts made by the government to improve legal compliance. The research was conducted in Waru Sub-district, specifically in Tropodo Village, using an empirical normative type research approach. Data collection involved document studies, field surveys, and interviews, with the use of qualitative descriptive analysis. The results of the study explain that the level of compliance of the people of Tropodo Village in paying land and building tax is still low, which is caused by several factors. First, cultural and historical factors, where taxes are still considered as a means of community extortion, although this perception has changed since the era of independence and democracy, where taxes are better understood as an economic burden on the community. Second, the lack of information provided by the government to taxpayers, resulting in a lack of understanding and awareness of the obligation to pay land and building tax. Third, economic factors, with the increase in land and building tax burdening some citizens, especially those with irregular incomes such as construction workers and traders. They find it difficult to pay taxes, especially due to the lack of direct rewards for tax payments. In addition, efforts that can be implemented by the Village and Sub-district heads are considered not optimal to remind and provide information to taxpayers.