Journal of Economic, Finance Research and Review (JEFRR)

Tax Incentives Enhance Tax Compliance: The Perspectives of Tax Officers and Consultants Based on Behavioral Economics and Slippery Slope Framework

Erawan, Rahmadani, Sumarsono, Herry

30 January 2026 · Vol. 2, Issue 1, pp. 16-26

DOI: 10.65150/EP-jefrr/V2E1/2026-03

Abstract

Tax compliance is one of the key factors in maintaining the effectiveness of the tax system and the sustainability of state revenue. Governments periodically implement various tax incentive policies as an effort to encourage taxpayer compliance, whether through tax rate reductions, tax exemptions, or the elimination of administrative sanctions. However, the effectiveness of tax incentives in enhancing compliance remains a subject of debate, particularly when linked to behavioral factors and the perceptions of tax actors in practice. This study aims to analyze the perceptions of tax officers and tax consultants regarding the effectiveness of tax incentives in improving taxpayer compliance by using Behavioral Economics and the Slippery Slope Framework (SSF) as the theoretical foundation. The Behavioral Economics approach is employed to understand how psychological, social, and moral factors influence tax compliance behavior, while the Slippery Slope Framework is used to explain the balance between the power of tax authorities and trust in tax authorities in shaping taxpayer compliance, both enforced and voluntary. This study adopts a qualitative approach. Data are collected through semi-structured interviews with tax officers and tax consultants who have direct experience in the implementation of tax incentive policies. The findings of this study are expected to contribute to the development of behavior-based tax compliance theory and to provide practical implications for the formulation of more effective, equitable tax incentive policies that are oriented toward enhancing voluntary tax compliance in Indonesia.

Keywords: Tax Incentives, Tax Compliance, Behavioral Economics, Power, Trust

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Erawan, Rahmadani, Sumarsono, & Herry (2026). Tax Incentives Enhance Tax Compliance: The Perspectives of Tax Officers and Consultants Based on Behavioral Economics and Slippery Slope Framework. Journal of Economic, Finance Research and Review, 2(1), 16-26. https://doi.org/10.65150/EP-jefrr/V2E1/2026-03

@article{Erawan2026,
  title   = {Tax Incentives Enhance Tax Compliance: The Perspectives of Tax Officers and Consultants Based on Behavioral Economics and Slippery Slope Framework},
  author  = {Erawan and Rahmadani and Sumarsono and Herry},
  journal = {Journal of Economic, Finance Research and Review},
  year    = {2026},
  volume  = {2},
  number  = {1},
  pages   = {16-26},
  doi     = {10.65150/EP-jefrr/V2E1/2026-03},
  url     = {https://doi.org/10.65150/EP-jefrr/V2E1/2026-03}
}

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