THE EFFECT OF INTERNAL CONTROL SYSTEM ON TAX EFFECTIVENESS THROUGH THE STRENGTHENING OF TAX OBLIGATION IN TAX SERVICE OFFICES IN MAKASSAR CITY

The purpose of this study was to determine the effect of internal control systems and taxpayer compliance on tax effectiveness at the Tax Service Office in Makassar City. This research was conducted quantitatively and used a questionnaire as a means of collecting data. For testing hypotheses using Structural Equation Modeling analysis tools with the Smart-PLS Version 3.0 program. The population in this study were all tax employees at the Tax Service Office in Makassar City has 460 employees. The sampling technique uses purposive sampling. So that the sample used in this study was 127 samples from tax employee respondents in the Account Representative section, tax checking section and tax collection employee at the Makassar City Tax Service Office. The results of this study indicate that the internal control system has a significant positive effect on tax effectiveness, indicating that the internal control system of taxpayers is needed as a control to detect the number of tax deviations committed by taxpayers, taxpayer compliance has a significant positive effect on tax effectiveness, this indicates that the understanding and awareness of taxpayers regarding their tax obligations and the number of appeals by tax authorities (tax officers) to pay taxes in accordance with the provisions, the internal control system does not have a significant effect on WP compliance, indicating that the taxpayers internal control system is a more directed form of supervision to prevent the occurrence of misuse and tax fraud by the taxpayer and the taxpayers fall does not mediate the effect of the internal control system on tax effectiveness, indicating that a strengthening of the internal control system is more directed towards control or supervision, to prevent taxpayers from committing tax irregularities or tax fraud.