Analysis of The Influence of Tax Socialization and Knowledge on Tax Compliance With Tax Sanctions As An Intervening Variable on Msmes in Medan City

Abstract

The large number of business actors who do not pay taxes must certainly be considered the causal factors. Therefore, this study will examine the Influence of Socialization and Tax Knowledge on Tax Compliance with Tax Sanctions as an Intervening Variable. This study uses a quantitative approach with a hypothesis testing study research design. The sampling technique uses a non-probability sampling technique. The study population is 25,301 Micro, Small, and Medium Enterprises in Medan City. Based on the sample calculation, the number of samples is 130 respondents. The variables are Socialization (X1), tax knowledge (X2), Tax Sanctions (Y), and Taxpayer Compliance (Z). In filling out the questionnaire that has been distributed using a Likert scale. The results of the study indicate that Socialization does not have a direct influence on Taxpayer Compliance, in contrast to tax knowledge which influences Taxpayer compliance. Furthermore, the study shows that the Influence of Socialization does not affect Tax Sanctions and is different from Tax Knowledge which influences Tax Sanctions. Furthermore, Tax Sanctions have a positive and significant effect on Taxpayer Compliance. Furthermore, socialization and knowledge of taxation do not have an effect on taxpayer compliance through tax sanctions.