DETERMINANTS OF MSME COMPLIANCE IN PAYING TAXES (CASE STUDY OF SEA PRODUCT PROCESSING MSME IN BINTAN DISTRICT)

. In Indonesia, Sustainable Development Goals (SDGs) are regulated in Presidential Regulation No. 59 of 2017. SDGs is a document that contains global goals and targets from 2016 to 2023. Funds are needed to support sustainable development so the government needs to have a source of funding. One of the largest sources of funding in Indonesia is taxes. State revenues from taxes account for more than 80% of all revenues received from 2017 to 2022. The aim of the research is to determine the influence of tax knowledge, taxpayer awareness, income, tax sanctions and tax services on taxpayer compliance. The object of the research is MSMEs processing sea products in Bintan Regency. This research used quantitative descriptive method. Results of the research are that awareness and level of service partially influence taxpayer compliance and knowledge, income and tax sanctions do not influence taxpayer compliance. Regression analysis calculations obtained R2 of 0.632. Thus, the Tax Knowledge, Taxpayer Awareness, Income, Tax Sanctions and Services variables can explain the Taxpayer Compliance variable by 63.2%, the remainder (36.8%) is explained by other variables.


Introduction
The country needs a lot of funds to achieve the Sustainable Development Goals (SDGs) so the government needs to have funding sources.One of the largest sources of funding in Indonesia is taxation.State revenues originating from taxes are more than 80% of all revenues received from 2017 to 2022.Table shows that state income from tax revenues continues to increase every year.This increase in the tax sector cannot be separated from the reforms in the tax sector which have been intensively implemented in recent years.However, the Directorate General of Taxes and Taxpayers have different interests when it comes to carrying out tax duties.Directorate General of Taxes tries to optimize tax revenues, while Taxpayers, especially those who own businesses, actually try to keep tax payments to a minimum, whether done legally through tax planning, or more extreme illegal ways through tax avoidance efforts.This is because from the taxpayer's perspective, tax is a cost that they have to pay so that it can reduce the income they earn.
Taxpayer compliance in performing computations to pay taxes is a crucial element in raising tax collection.Taxpayers who comply with the law by paying their taxes are eager to do so without the need for audits, extensive investigations, warnings regarding complaints or conclusions, or threats of enforcing legal or administrative penalties.[15].States that individual taxpayers who work as employees are considered to be more compliant when compared to individual taxpayers who work independently.They appear to be more compliant, but this does not necessarily mean that Individual Taxpayers employees are compliant because of personal awareness, but this can happen because of the demands of their work.This phenomenon then prompted the author to be interested in studying more deeply regarding individual taxpayer compliance, especially for individual taxpayers who have independent work.
It is vital to continuously research the elements influencing taxpayer compliance because it is a crucial and primary component in raising tax collections.tax payments in order to support state funding.Many studies have examined taxpayer compliance in large cities where facilities and infrastructure are quite adequate.However, research is still rarely carried out in coastal areas where facilities and infrastructure are still limited.Therefore, researchers are interested in how different elements that affect taxpayer compliance with MSMEs in coastal areas, particularly those that process marine goods, are perceived.The goal of this study is to ascertain whether factors such as income, tax fines, knowledge, awareness, and tax services have a major impact on taxpayer compliance.

Method
The survey method, a type of investigation used to gather factual information and ascertain facts or symptoms that are now present, was used in this study.Surveys were used to gather data, and the MSME executors in Bintan Regency received them immediately.Likert scale responses are requested on several of the questionnaire items in this study's instrument.
The sample reflects some of the population's attributes and size [13].Purposive sampling was employed to pick the study's sample, which restricted the selection process according to predetermined standards [13].A sampling strategy that complies with the necessary sample requirements and criteria is known as purposive sampling.The requirements for this study's sample are: (a) SMEs engaged in the fisheries sector, (b) SMEs engaged in the processing of marine products.In this study, there were 120 SMEs that could be used as respondents.The results of the distribution of the questionnaires minus the questionnaires that were returned and the questionnaires that were filled in incompletely resulted in 45 questionnaires that could be obtained in this study.
The data was analyzed using SPSS version 23.0.Data analysis techniques using quantitative analysis that comprises numerical computations for testing and evaluating the data, followed by inference drawn from the data testing.The Classical Assumption test and multiple regression analyses were both used to analyze the study's data.

Multicollinearity Test
In a decent regression model, there should be no correlation between the independent variables to ascertain whether tolerance and VIF show evidence of multicollinearity interference.There are constraints on tolerance levels > 0.1 and VIF 10 [6].The data processing findings are shown in the table, which demonstrates that there are no multicollinearity problems with any of the independent variables.The five independent variables' tolerance values are all above or greater than 0.10, whereas the VIF values are all below or less than 10.Therefore, multicollinearity (the occurrence of multicollinearity) has no impact on the regression model.The table indicates that there is no evidence of heteroscedasticity because each of the variables related to tax knowledge, taxpayer awareness, revenue, tax sanctions, and services has a significance value (Sig.)greater than 0.05.

Multiple Linear Regression Model Analysis
With regard to the variables Tax Knowledge, Taxpayer Awareness, Revenue Tax Sanctions, and Taxpayer Compliance Services, this study employs a multiple regression model.

Tax Knowledge
The hypothesis is invalid due to the fact that (1,626<2,0226) t count t table.The significance (Sig) column is what gave the result of 0,1112 as its value.This number is higher than the chosen value of 0,05.Therefore, it can be concluded that capital intensity has little effect on taxpayer compliance.

Taxpayer Awareness
Based on the outcomes of the data processing, T count is 4,046 and T table is 2,0226.The hypothesis is accepted because (4,046 > 2,0226) t count > t table.The significance (Sig) column yields the value 0000.This value is lower than the value of 0.05 that was used.As a result, it may be concluded that there is a strong link between taxpayer awareness and compliance.

Revenue
T count of Revenue is 0,643 and T table is 2,0226.When t count > t table (0,643<2,0226), it is possible to draw the conclusion that the hypothesis is unfounded.A value of 0,524 can be obtained from the Sig (significance) column.This result is greater than the threshold, which is 0.05.This makes it clear that Revenue's influence on taxpayer compliance is little.

Tax Sanctions
T count of Tax Sanctions is 1,362 and a t table of 2,0226.According to the t value and t table (1,362<2,0226), the hypothesis is disproved.It is possible to deduce a value of 0,181 from the Sig (significance) column.This amount exceeds the utilized, which is 0,05.Therefore, it may be said that there is no discernible impact of tax sanctions on taxpayer compliance.

Tax Service
T count of Tax Service is 1,362 and T table is 2,0226 according to the data processing results.The hypothesis is disproved based on the t value and t table (1,362<2,0226).A value of 0,181 is derived from the Sig (significance) column.This number is higher than the used value, which is 0,05.In light of this, it can be said that tax sanctions have little impact on taxpayer compliance.The results of the regression analysis computation yielded an R2 of 0.632.The variables may thus explain the variable Taxpayer Compliance, which accounts for 63.2% of the variance; the remaining 36.8% is explained by other factors.

Tax Knowledge
The tax awareness variable had no discernible influence on taxpayer compliance in MSMEs on Bintan Island that process marine products.The results of this study are in line with other studies' findings that there is no relationship between taxpayer compliance and knowledge [4,11,16].The MSMEs that process sea products that are the focus of this study are still small businesses, therefore they are unaffected by taxpayer compliance due to their distance from urban areas and the director general of taxation.They are therefore unconcerned with their tax understanding because they are just interested in expanding their firm.Therefore, whether a taxpayer has a high or low level of tax awareness does not alter their willingness to pay taxes.However, this goes against the findings of research [4,9,12] which discovered a relationship between taxpayer understanding and compliance.

Taxpayer Awareness
Findings from the research show that among MSMEs on Bintan Island that handle marine products, the taxpayer awareness variable has a significant influence on taxpayer compliance.These results support research that indicated a strong link between taxpayer awareness and compliance [11,12,16].This is because taxpayers will be more inclined to abide by their duties as they become more aware of their tax payment requirements.However, if taxpayers are unaware of their commitments, there will be less compliance with meeting tax requirements.To increase taxpayer knowledge of the significance of meeting their tax duties, the government must regularly increase tax outreach.

Revenue
According to the study's findings, taxpayer compliance in MSMEs on Bintan Island that process marine products is not significantly impacted by variable taxpayer income.The research findings align with previous studies [3,5,14] that indicate taxpayer income has no bearing on taxpayer compliance.This demonstrates that taxpayer compliance is independent of the taxpayer's income level.This is due to the fact that the research's target MSMEs, those engaged in sea product processing, still have relatively modest revenue.Furthermore, MSMEs-the subject of this research-continue to require funding for business development, and taxpayers continue to view taxes as a burden that must be paid.As a result, these MSMEs disregard tax compliance in favor of expanding their businesses.
Income has an effect on taxpayer compliance, according to research [8,9,12].These results are in line with those results.

Tax Sanctions
The research findings indicate that Taxpayer Compliance in Sea Products Processing MSMEs on Bintan Island is not significantly impacted by the taxpayer sanctions variable.These findings are consistent with studies that found no relationship between taxpayer compliance and tax sanctions [3,5,14].It is still not possible for applicable tax witnesses to affect taxpayer observance of applicable tax laws.This occurs because MSMEs that process sea products on Bintan Island are not yet subject to the applicable tax sanctions, meaning that taxpayer compliance with the size of the applicable tax witness is unaffected.This research has not yet had an influence on taxpayers because it is still a long way from tax audits and taxpayer socializing, which precludes present penalties from incentivizing people to pay their taxes on time.
However, research [8,9,10,12] show that tax penalties have an effect on taxpayer compliance, proving that this is not the case.

Tax Service
The results of the study show that the tax service variable has a considerable impact on taxpayer compliance in MSMEs processing marine products on Bintan Island.The results of this study are in line with previous research [4,8] that found a positive correlation between tax services and tax compliance.Taxpayers who receive high-quality assistance from tax services in resolving tax-related complaints are more likely to fulfill their tax obligations and, consequently, to comply with relevant tax regulations.This is consistent with the rise in online and offline tax services offered to expedite tax services and boost taxpayer compliance in fulfilling their duties.

Conclusion
It is possible to conclude from the analysis's findings that two factors affect taxpayer compliance: taxpayer awareness and the caliber of tax services.Complying with the law is unaffected by taxpayer knowledge, taxpayer income, or taxpayer sanctions.R2 of 0.632 was found through regression analysis computations.Therefore, the Taxpayer Compliance variable can be explained by the following variables: Tax Knowledge, Taxpayer Awareness, Income, Tax Sanctions, and Services.Other variables account for the remaining portion, or 36.8%, of the explanation.

Table 1 .
Table below shows the realization of State revenues originating from taxes Realization of State Revenue from Taxes

3.1 Normality test Tabel 2.
Uji One-Sample Kolmogorov-Smirnov Test This is a lower bound of the true significance.Source: SPSS Processed Data The value of Asymp is obtained from the table.A two-tailed significance value of 0.200, greater than 0.05, indicates a normally distributed set of research data.

Table 3 .
Tolerance Value dan VIF

Table 5 .
Multiple Regression Model Analysis Result Coefficients a