20 question is a fair tax system for all parties and system is administration
simple and easy. Pramono 2003: 16 in Reza Mardian 2009 stressed that indicator
of the consciousness of taxpayers are Knowledge of Taxation, Knowledge about tax regulations, Patterns of behavior toward the
taxpayer tax payments. Suryadi 2006 mentions that indicators of awareness have four type, namely Taxpayers Perception, Knowledge of
Taxation, Taxpayers Characteristic, and Socializations Taxation. Based on expert opinions, we can conclude that consciousness is
an activity or behavior of someone who is influenced by education, knowledge, habit patterns of behavior and socializations. Awareness is a
conscious act of doing certain activities. Growing awareness on the individual taxpayer is required to be carried taxation. Taxpayers must
have an awareness of paying taxes so the tax system in Indonesia can be run well and the source of government revenue can be increased in
developing countries.
5. Income Taxes
The word Income Tax has two meanings together with the other. The First is understanding of the meaning of tax itself and second is
sense of the meaning of income. Understanding tax is free to do as a state obligation in the form of devotion and the active role citizens and
community members to finance the various needs of State in the form of
21 implementation of national development which is set in legislation and
regulations for the purpose of welfare of the nation and the State. In other words, understanding the tax can be considered as fringe
benefits provided by society to the government for the facilities that we can enjoy being able to live well in a State. Despite of income is the
amount of money received for work done by individuals, agencies and other business forms that can be used for economic activities such as
eating and or hoarding and increasing wealth. According to article 4 paragraphs 1 of the Income Tax Act No. 36
of 2008, “which meant the income which is any additional economic
capability received or accrued by a taxpayer, whether originating from Indonesia and outside Indonesia, which can be used for consumption or to
increase the wealth of taxpayers concerned, with the name and in any form”.
So understanding the income tax is a levy directed to the public official whose income or on income received and earned in the fiscal year
for the interests of the State and society in the life of nation and state as an obligation that must be implemented. It should be emphasized here, is the
object of income tax, in accordance with article 4 above, is income that is economical and additional capabilities that can be used for consumption or
to increase the wealth of the taxpayer. In other words if the income received is not an economical or not additional ability to increase property
tax payers, the income is not subject to tax. Rimsky 2004: 50
22 The legal basis for income tax in Indonesia is a plus Act
regulations that support under it include the following are Government Regulation PP, Regulation of the President Presidential, Regulation of
the Minister Finance PMK, DGT Regulation Per.DJP. Laws governing the income taxes in Indonesia at this time began with the law No. 7 of
1983. Later the law was amended several times, changed into law No.7 of 1991, then changed again into law No.10 of 1994 and last amended to Act
No.17 of 2000. The last Act, i.e. Act No. 36 of 2008 becomes effective from 1 January 2009. Paryan 2009: 2. Here there are the income tax
explanations, we first need to learn about the subject of taxes and income
tax object.
The principle relating to the subject of Tax is the principle of domicile which is a principle of taxation based on domicile or residence
subject to tax. The principle of source, namely the principle of taxation based on source of income derived subject to tax. The principle of
nationality is the principle of taxation based on citizenship subject to tax. The tax liability of an individual or agency or heritage begins and
ends at when an individual who resides in Indonesia, an individual residing in Indonesia for more than 183 one hundred and eighty-three
days within any 12 twelve months, or an individual who in a tax year are in Indonesia and has the intention to reside in Indonesia. Board was
established or domiciled in Indonesia and ended when dissolved or is no
