THE EFFECT OF TAX COLLECTION WITH WARNING LETTERS AND FORCED LETTERS ON THE EFFECTIVENESS OF DISBURSING TAX ARREARS AT THE BANDUNG CIBEUNYING PRIMARY TAX SERVICE OFFICE

Abstract

Tax takes a main part and even fundamental role in the progress of this country’s development. The state income is obtained predominantly through tax contributions, hence the government always strives to maximize its tax revenue. This study aims to determine the effect of tax collection with warning letters and forced letters on the effectiveness of disbursing tax arrears at the Bandung Cibeunying Primary Tax Service Office. The sample used in this study was 60 samples based on purposive sampling technique for monthly data period during 2018-2022. Statistical analysis instruments used classical assumption test and multiple linear regression analysis. The results of this study indicate that partially warning letters and forced letters have an influence by contributing 53,9% to the effectiveness of disbursing tax arrears, while 46,1% is influenced by other factors not examined in this study.