Typology Taxpayers in Indonesia

Taxpayers feel that tax is a cost that reduces their economic power and thus, taxpayers show resistance through tax evasion. Therefore, tax authorities in Indonesia need to understand the behavior of taxpayers to anticipate their involvement in tax evasion. From this situation, this study aims to classify taxpayers into groups with similar behavior toward tax evasion. This classification is based on taxpayers intention and attitude as well as a combination of several factors: subjective norms, relations with tax authority, and distributive justice. We used Cluster Analysis Method to analyze data in this study. This method classifies object or variable into several groups in which they have resembling attribute and characteristic. Data were collected using a self-administered questionnaire both from direct interviews and from the google form application. Clustering results in five groups of taxpayers, namely Commitment, Sycophant, Submission, Offender, and Defrauder groups. The commitment is a group of taxpayers who obeys tax regulations voluntarily. The Sycophant are taxpayers who tend to take advantage of their good relations with the tax authorities in completing tax obligations. The Submission are taxpayers who initially want to commit tax evasion but in fact still choose to obey. Offender are taxpayers who commit tax evasion by exploiting weaknesses in tax regulations. The last group is Defrauder, namely taxpayers who have the intention to commit tax evasion from the beginning. The results of this study will show a pattern of similarities in taxpayer behavior that can help tax authorities in Indonesia to formulate tax regulations in anticipation of taxpayer evasion action