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Abstract

This study explored relationship between tax rate and revenues in the case of VAT, one of few type of consumption taxes that is considered to be a broad-based tax. Based on a larger set of countries - in comparison to previous studies, this study shows VAT rate has an inverted U-shaped relationship to VATÂ revenues, confirming the Laffer Curve theory. Exploring further on the effect of informality to maximum VAT rate, we found that higher informality will reduce government flexibility in its effort to increase tax rate. Furthermore, openness has significant and positive effect on VAT revenues performance, and tax administration capacity may also play role on improving VAT revenues performance.

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Bahasa Abstract

Studi ini mengkaji hubungan antara tarif pajak dan penerimaan dalam konteks PPN (Pajak Pertambahan Nilai). PPN adalah salah satu dari beberapa jenis pajak konsumsi dengan cakupan basis pajak yang luas. Berdasarkan sampel cakupan negara yang lebih banyak - dibandingkan dengan studi-studi sebelumnya, temuan dari studi ini menunjukkan tarif PPN memiliki hubungan berbentuk U terbalik dengan penerimaan pajaknya, mengkonfirmasikan teori Laffer Curve. Sementara itu, mengenai pengaruh informalitas terhadap besar tarif maksimal PPN, studi ini menemukan bahwa informalitas yang tinggi di suatu negara akan mengurangi fleksibilitas pemerintah terkait dalam upaya meningkatkan penerimaan PPN melalui perubahan tarif pajak. Selain itu, keterbukaan ekonomi memiliki pengaruh yang signifikan dan positif terhadap kinerja penerimaan PPN. Perbaikan administrasi yang diasumsikan terjadi sejalan dengan jangka waktu implementasi pajak terkait, juga berhubungan positif terhadap peningkatan penerimaan PPN.

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