What Shapes Tax Morality? A Study of Indonesian Taxpayers Factors

ABSTRACT: This research examines factors that shaped the tax morale of Indonesian taxpayers. The factors include tax justice, tax literacy, life satisfaction, age, and educational attainment. Tax morale is defined as an internal attitude reflecting taxpayers’ awareness of their duty to pay taxes and their conviction that taxation supports societal welfare. The study employed a convenience sampling approach, yielding 200 Indonesian taxpayers as respondents. Data were gathered through a structured questionnaire using a six-point Likert scale, distributed via social media. The analysis utilized SmartPLS version 4. At the 5% significance level, the results reveal that tax justice, tax literacy, and life satisfaction significantly influence tax morale. Additionally, educational attainment strengthens the relationship between life satisfaction and tax morale, but weakens the link between tax literacy and tax morale. Meanwhile, age shows no significant impact. These results highlight the importance of instilling tax awareness from the elementary education stage, rather than limiting efforts to certain age groups.