Scientax: Jurnal Kajian Ilmiah Perpajakan Indonesia

Greetings to all readers!

We are pleased to present the second edition of Volume 6 of Scientax: Jurnal Kajian Ilmiah Perpajakan Indonesia. First and foremost, we extend our heartfelt thanks to all our readers and contributors—your continued support has helped Scientax achieve SINTA 3 accreditation!

In this edition, we explore the evolving landscape of data. The rapid pace of digital transformation has brought with it an explosion of data, including in the field of taxation. As the institution responsible for tax administration, the Directorate General of Taxes must remain agile—leveraging data to address complex compliance challenges, enhance institutional performance, and inform evidence-based policymaking.

Let us delve deeper first from data landscape perspective. Assessing Taxpayers’ Ability to Pay: A Machine Learning Approach paper demonstrates how predictive modeling can help tax authorities better understand taxpayer capacity, offering a pathway to enhance fairness and precision in compliance strategies. This paper talks deeply about how data analytics offers powerful tools to support tax compliance Complementing this, Data Mining to Detect Fraud Patterns in a Taxpayer’s Financial Statement paper introduces novel methods for identifying unusual reporting behaviors, enabling tax authorities to recognize and address risks more effectively.

Strengthening institutional capability is equally vital in the evolving landscape of tax administration. On Capabilities of Data Quality Assurance Section and Performance of Unit in the Directorate General of Taxes: The Moderating Role of Data Quality paper, our authors highlights the critical role of high-quality data and its active use in driving organizational performance, emphasizing how management practices, culture, and collaboration within tax offices can significantly enhance outcomes.

Tax reform efforts also require approaches that bridge the gap between centralized systems and field-level realities. Dealing with Last-Mile Analytics: Evidence from Indonesian Tax Administration through Practice Research paper shows how practice-based research embedded within tax offices can improve last-mile analytics, offering operational insights that emerge directly from frontline experience. Such bottom-up perspectives help ensure that policy design remains responsive to local implementation challenges.

On this edition, we also highlight the policy dynamics in taxation. Evaluasi Kebijakan Fasilitas Pajak untuk Mendorong Riset dan Inovasi di Indonesia paper critically examines the effectiveness of tax incentives aimed at fostering research and development. Drawing on stakeholder feedback, the study reveals that despite good intentions, gaps in the innovation ecosystem, regulatory clarity, and stakeholder perceptions still limit the impact of these incentives. A Review of Taxation Aspect of Cash Poolings Based on Indonesian Regulations paper investigates how taxation rules apply to intra-group cash pooling arrangements, highlighting the importance of clear role definitions and alignment with the arm’s length principle to maintain compliance.

On a broader scale, Interest Limitation Rules and Corporate Tax Avoidance: A Cross-Country Analysis paper provides an international comparison of interest limitation rules, examining how different countries apply Debt-to-Equity Ratio (DER) thresholds to curb base erosion. The findings suggest that adjusting DER thresholds and strengthening enforcement could enhance protection against tax avoidance—an important consideration as Indonesia revisits its thin capitalization policies within the framework of global tax reforms.

Ultimately, Harnessing Data, Enhancing Compliance, and Empowering Policy are not separate objectives, but interconnected pillars that drive the evolution of modern tax administration and help shape a responsive, equitable, and future-ready tax system.