The Analysis of Understanding and Awareness of Taxpayer to Income Tax (Study of SMEs in West Sumatera)

This research is to investigate whether SMEs in West Sumatera already has Taxpayer Identification Number in running their businesses. Since taxpayer Identification Number is an obligatory both for individual and businesses. Moreover, this paper also aims to seek the SMEs in West Sumatera if they have an adequate knowledge of taxation, including form filling, calculating, and pay their income tax based on the regulation. The method used in this research is mixed method. Qualitative and quantitative analyses are done to obtain the data and information. The questionnaires are distributed to 300 SMEs in West Sumatera and the interview is carried out to obtain more information about the obstacles faced by the SMEs related to the administration from filling the Annual tax Return, calculating the Tax Due, until tax payment. It is believed that the research will give contribution to academician, government and the taxpayer itself. Keywords: Taxpayer Identification Number, Annual Tax Return, Tax Due, Income Ta