Digital Tax Administration through the Core Tax System: A Case Study of PPh 23 from a Building Materials Distribution Company

Abstract

The implementation of a digital-based tax administration system is realized through the use of the Core Tax Administration System (Coretax) which was developed to encourage increased efficiency, accuracy, and transparency in managing corporate taxpayer tax obligations. One type of tax that requires careful administrative management is Income Tax (PPh) Article 23. This study is directed to examine the implementation of the Core Tax System in the management of PPh Article 23, which includes the stages of preparing withholding tax certificates, the payment process, and tax reporting, as well as to identify various conveniences and obstacles that arise in the implementation of the system and their impact on the order of tax administration. The type of research used is qualitative with a descriptive method. Data collection techniques through interviews, direct observation, and documentation. The results of the study indicate that the implementation of the Core Tax System in the management of PPh Article 23 has been implemented quite optimally and has made a positive contribution to increasing the efficiency and order of tax administration. This system simplifies the process of creating withholding tax certificates through the e-Bupot feature, simplifies tax payments through electronic billing code generation, and improves the accuracy of reporting PPh Article 23 Periodic Tax Returns through data integration. However, obstacles were found in the form of technical constraints and limited user understanding of the Core Tax feature. The Core Tax system plays an important role in supporting corporate tax compliance, but optimizing its implementation still requires improving human resource competency and sustainable system infrastructure support.