Облік і фінанси (Sep 2023)
The Effect of Attributes of Innovation on Adoption of E-Filing with Taxpayers’ Trust as Moderating Variable
Abstract
The adoption of e-filing is an integral component of digitalization in public administration. In Indonesia, the Directorate General of Taxes (DGT) has made various efforts to increase tax revenue from taxpayers by using technology and communication in the filing system. One such step is to implement an e-filing tax reporting system. This study aims to examine the impact of innovation attributes (relative advantages, compatibility and complexity) on the adoption of e-filing with taxpayers' trust as a moderating variable. This research is quantitative descriptive research. This research uses a questionnaire to obtain data from 354 taxpayers. The data analysis method is Structural Equation Modeling with Partial Least Square (SEM-PLS). The study's results indicate that only relative advantage affects the adoption of e-filing. Instead, compatibility and complexity do not affect the adoption of e-filing. Taxpayers' trust mediates the influence of relative advantage on the adoption of e-filing and cannot mediate the effect of compatibility and complexity on the adoption of e-filing. The application of e-filing requires trust from taxpayers to be able to report their obligations to the state voluntarily. It is necessary to approach and socialize with taxpayers continuously to create public trust both in the state and the system itself. Any innovations will not have a significant spread if their potential consumers do not know about the benefits of their use. Thus, implementing the e-filing tax reporting system needs clarifications among taxpayers to encourage them to participate in this process. In addition, it is necessary to pay attention to the level of ease of use of the system. The more complicated the system used in adopting e-filing, the more difficult it is for taxpayers to use this system. Thus, taxpayers have less trust in the system.
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