PERSONAL INCOME TAX PLANNING OF TAXPAYERS IN UDONTHANI PROVINCE

Abstract

The purposes of this study are to study 1) personal characteristics and methods to pay the personal income tax of taxpayers in Udonthani province, 2) comprehension level of personal income tax planning of the taxpayers in Udonthani province and 3) factors affecting the comprehension level of personal income tax planning. This study is a mixed method research consisting of both quantitative and qualitative methods. For quantitative method, questionnaire is employed as a research tool. The sample group is those 400 personal income taxpayers in fiscal year 2019 in Udonthani province. Qualitative method utilizes semi structured in-depth interview with 10 interviewees. The results reveal that the mojority of the taxpayers holds bachelor’s degree and is married. They calculate their tax seperately between spouse and file their tax form electronically via internet. They possess intermediate level of tax planning comprehension. The personal characteristics which are gender, education, marrital status, information channel regarding tax have an effect on the level of comprehension of personal income tax at 0.05 statistical significance. Occupation has an effect on the comprehension level at 0.01 statistical significance. Tax payment method factors which are tax form filed at year end, tax calculation method, voluntary tax deduction rights, withholding tax, and place for the tax filing have an influence on the level of comprehension of personal income tax at 0.01 statistical significance. The timing of tax filing at year end also has an impact on the comprehension level at 0.05 statistical significance. The personal income taxpayers having high level of personal income tax planning comprehension are those who are trained from the officers. Entrepreneurs in trade and service segments has low level of personal income tax planning comprehension.