MERANCANG KEBIJAKAN INSENTIF PAJAK YANG EFEKTIF

Abstract

Tax incentive policy in Indonesia is designed as one of the main strategies to encourage economic growth and investment. The provision of tax incentives by the government can have a positive impact in accordance with the established objectives; however, tax incentives whose policies are designed carelessly can be counterproductive to the expected goals. Various studies have been conducted to evaluate the effectiveness of the implementation of tax incentive policies and their impacts on the economy. However, there has not yet been an academic study examining the policy-making process and identifying the indicators that can determine the effectiveness and success of tax incentive policies. This research analyses the policy-making process and the characteristics of effective tax incentive policy design. The aim is to understand the policy-making process for providing tax incentives and to identify indicators of effective policy. The method used in this study is a qualitative method employing grounded theory methodology with data collection techniques including in-depth interviews and Focused Group Discussions (FGD). The data used in this research is primary data from in-depth interviews with 9 participants from policy-making elements and 2 participants from professional elements who are experts in tax incentive policy. This study found that the provision of incentives is reactive as a response to external proposals, with no initiatives emerging from within. The study also found that there is a significant influence from business interests in the policy-making process. Another important finding is that the characteristics of effective fiscal incentive policies are: having clear objectives, considering risks and outcomes, being oriented toward achieving goals, being stable, and being transparent. The findings generated in this research provide a significant contribution to both literature and policy-making practice. For literature, this research enriches the qualitative analysis of the policy process in Indonesia, which is still rarely conducted. For policymakers, the research results can serve as a reference for developing effective tax incentive policies.