Assessing the Role of AI-Based Tax Digitalization and Supervision in Reducing Corruption in Indonesia’s Tax Sector

Puteri Ayu Pratiwi; Rosdiana Mata; Ayu Sartika Pane; Rosmiati Rosmiati; Firyal Nailah Izzatul

doi:10.37385/ijedr.v6i6.9413

Authors

Puteri Ayu Pratiwi Politeknik Negeri Kupang
Rosdiana Mata Politeknik Negeri Kupang
Ayu Sartika Pane Politeknik Negeri Kupang
Rosmiati Rosmiati Politeknik Negeri Kupang
Firyal Nailah Izzatul Politeknik Negeri Kupang

DOI:

https://doi.org/10.37385/ijedr.v6i6.9413

Keywords:

Digital Tax System; Artificial Intelligence; Tax Control; Tax Evasion; Fiscal Corruption

Abstract

This study investigates the implementation of AI-based tax digitalization and enhanced supervision as mechanisms to reduce corruption within the taxation system. Despite ongoing reforms, tax evasion remains a common issue, as illustrated by a 2021 case managed by the Regional Directorate of Taxes in Nusa Tenggara. Artificial Intelligence provides innovative tools for detecting irregularities and preventing fraudulent activities. Adopting a quantitative descriptive design, the research utilizes primary data obtained from 99 tax officers through a census sampling approach, and analyzes the data using descriptive statistics, multiple linear regression, and hypothesis testing. The results indicate that both AI-based tax digitalization and strengthened supervision have a significant and positive impact on tax evasion prevention.

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