Application of the Principles of Justice and Legal Certainty to Final Income Tax for Micro, Small and Medium Enterprises (MSMEs)

Ahmad Roni Akroma

Abstract


This study aims to analyze the application of the principles of justice and legal certainty in Government Regulation No. 23 of 2018. This research is normative legal research, which uses library materials or secondary data through primary legal materials, secondary legal materials, and tertiary legal materials. The results of this study are First, there are justice criteria that have not been met by PP No. 23 of 2018, (i) There is no mechanism to filter business actors who have no profits or even suffer losses. (ii) Simplicity in calculating PPh, so that it is unable to accommodate the different characteristics of each type of business. And (iii) Abandonment of MSME layering. There is an element of injustice in PP No. 23 of 2018 above, demands a review of the PP. Second, the convenience principle promoted by the government in PP No. 23 of 2018, apart from having an element of injustice, reflects the absence of legal certainty considering that final PPh arrangements are stipulated in the law via Article 4 paragraph (2) letters a to Act No. 36 of 2008 concerning Income tax, furthermore the addition of final PPh objects in Article 4 paragraph (2) letter e regulated through PP. This is not in accordance with the characteristics of PP which cannot add or subtract provisions of the law. The principles of justice and legal certainty have a significant role in increasing taxpayer compliance in fulfilling obligations as law-abiding citizens.

Keywords


Certainty; Fairness; Income; Tax.

Full Text:

PDF

References


Adam, S. 2011. Tax by design: The Mirrlees review (Vol. 2). Oxford UniversityPress

Budi Wardana, Arief. Measuring Income Tax Fairness and Incentives for MSMEs During the Covid-19 Pandemic. Journal of Indonesian Taxes Vol.5, No.2, (2021).

Government of the Republic of Indonesia. (2013). Government Regulation Number 46 of 2013 concerning Income Tax on Income from Business Received or Earned by Taxpayers with Certain Gross Turnover

Government of the Republic of Indonesia. (2018). Government Regulation Number 23 of 2018 concerning Income Tax on Income from Business Received or Earned by Taxpayers with Certain Gross Turnover (No. 23).

Hans Kelsen, Hans, Pure Legal Theory Fundamentals of Normative Law. Bandung: Nusa Media Publisher, 2011.

Huda, Ni'matul. The 1945 Constitution and the Re-Amendment Idea. Jakarta: Rajawali Press. 2008.

Liberal Sonata. depri. "Normative and Empirical Legal Research Methods: Typical Characteristics of Legal Research Methods", Fiat Justisia Journal of Law Studies Volume 8 No. 1, January-March 2014. ISSN 1978-5186.

Mahmud Marzuki, Peter. Introduction to Law. Jakarta: Kencana. 2008.

Maramis, Henry. Government Regulation 23/2018 MSME Income Tax. accessed via: https://buk.ung.ac.id/home/berita/peraturan-Government-232018-pajak-penghasilan-umkm#:~:text=Peraturan%20Pemerintah%20Nomor%2023%20Tahun,start%20berlaku% 201%20July%202018).

Marlina. Utilizing MSME Tax Incentives in an Effort to Encourage National Economic Recovery. Journal of IKRAH, 4 2021. (98).

Nathania, AO, Astuti, TP, & Siddiq, FR (2021). Analysis of Factors Affecting MSME Taxpayer Compliance During the Covid-19 Pandemic. Accounting Research Forum, 9(2), 91–105.

Oishi, S., Kushlev, K., & Schimmack, U. (2018). Progressive taxation, income inequality, and happiness. American Psychologist, 73(2), 157.

Puspasari, ID (2020). The Dilemma of Taxation Law for Small Farmers. International Journal of Religious and Cultural Studies, 2(1), 11–18.

Rahardjo, Satjipto. Legal studies. Bandung: Alumni 2006.

Rudin, Akmal. Juridical Analysis of the Return of the Decree of the People's Consultative Assembly (TAP MPR) in the Hierarchy of Legislation in Indonesia (Juridical Study of Article 7 of Act No. 10 of 2004 with Article 7 of Act No. 12 of 2011) http://repository.uin suska.ac .id/7061/3/BAB%20II.pdf

Setiawan, DA (2020). Assessed as "Resilient", the Contribution of MSMEs to Taxes is Expected to Increase. DDTC NEWS, 1.

Sugiri, Dani. 2020. Saving Micro, Small and Medium Enterprises from the Impact of the Covid-19 Pandemic. Business Focus: Management and Accounting Assessment Media, 19(1) Accessed via: https://doi.org/10.32639/FocusBusiness.v19i1.575.

The Function of Taxes as the Development of the Nation and State, Accessed via: http://bphtb.asahankab.go.id:8182/post/fungsi-pajak-bagi-pembelian-bangsa-dan-negara.

Uswatun Hasanah, Ananda. et al,. "The Role Of Information Technology In Improving The Competitiveness Of Small And SME Enterprises". IAIC Transactions on Sustainable Digital Innovation (ITSDI Vol. 3 No. 2 April 2022. 168.

Wijaya, S., & Arumningtias, D. (2021). Preventing The Potential Tax Avoidance in Government Regulation Of The Republic Of Indonesia Number 23 Of 2018. Multicultural Education, 7(1).




DOI: http://dx.doi.org/10.30659/rlj.1.4.%25p

Refbacks

  • There are currently no refbacks.


Ratio Legis Journal has been indexed in: