Tax Avoidance & Evasion

Dian Andari, S.E., M.Sc.

Definisi Pajak

Kontribusi wajib yang bersifat

kepada negara yang memaksa
terutang oleh orang berdasarkan Undang-
pribadi atau badan undang

digunakan untuk dengan tidak

keperluan negara bagi mendapatkan
sebesar-besarnya imbalan secara
kemakmuran rakyat langsung

Dian Andari, S.E., M.Sc.

2
Pengertian Manajemen Perpajakan
Manajemen Pajak merupakan “suatu usaha menyeluruh yang dilakukan terus menerus
oleh WP agar semua hal yang berkaitan dengan urusan perpajakan dapat dikelola dengan
baik, ekonomis, efektif dan efisien sehingga memberikan konstribusi maksimum bagi
kelangsungan usaha WP tana mengorbankan kepentingan penerimaan negara”. (Ikatan
Akuntan Indonesia)

“Manajemen perpajakan berarti melakukan perencanaan, pengorganisasian,

pengarahan, pengkoordinasian dan pengawasan mengenai perpajakan yang tujuannya
adalah untuk meningkatkan efisiensi”. (Ladiman Djaiz)

“Manajemen pajak adalah sarana untuk memenuhi kewajiban perpajkan dengan benar
tetapi jumlah pajak yang dibayarkan dapat ditekan serendah mungkin untuk memperoleh
laba dan likuiditas yang diharapkan”. (Sophar Lumbantoruan)
Dian Andari, S.E., M.Sc.
Fungsi Manajemen Pajak
• Fungsi Perencanaan (planning)
FUNGSI
• Fungsi Pengorganisasian (organizing) MANAJEMEN
• Fungsi Pelaksanaan (actuating) SECARA UMUM
• Fungsi Pengawasan (controlling)

“Manajemen Perpajakan merupakan segenap upaya untuk mengimplementasikan

fungsi-fungsi manajemen agar pelaksanaan hak dan kewajiban perpajakan berjalan
efisien dan efektif”. (Pohan, 2013)

Dian Andari, S.E., M.Sc.

Tujuan dan Motivasi

Tujuan Motivasi
• Benar & Efisien -> EAT optimum • Tarif pajak tinggi
• Mengurangi kejutan pajak (tax • Kurang explisit dan rumitnya nya
surprise) saat pemeriksaan pajak peraturan perpajakan
• Asas kewajaran dan pemerataan ->
fasilitas public diterima = pajak
Manfaat dibayarkan
• Penghematan • Biaya negosiasi, denda
• Mengatur aliran kas • Resiko deteksi terhadap
pelanggaran
Dian Andari, S.E., M.Sc.
Syarat Manajemen Pajak yang Ideal
• Tidak melanggar ketentuan/peraturan yang berlaku
• Reasonable atau sesuai dengan strategi perusahaan
• Didukung dengan bukti yang memadai contoh invoices, kontrak,
pencatatan dsb.

Dian Andari, S.E., M.Sc.

Perencanaan Pajak
• Tax planning interchangeable with tax management, but conceptually
they are different.
• Perencanaan pajak merupakan tahap awal krusial dalam manajemen
pajak.
• Perencanaan pajak juga digunakan untuk mengenalikan pemenuhan
semua kewajiban pajak (tax compliance/tax administration) agar
resiko perpajakan (mis-organizing) dapat dihindari dan penghematan
pajak dapat dioptimalkan.

Dian Andari, S.E., M.Sc.

Startegi Perencanaan Pajak yang Ideal
• Tax saving : memilih alternatif pengenaan pajak dengan tarif lebih rendah.
Contoh: natura vs honor/gaji agar bisa dibiayakan. (ps: cek UU HPP, natura
boleh dibiayakan)
• Penundaan atau mempercepat : menunda/mempercepat pembayaran
pajak terutang, contoh: beda temporer dalam akuntansi vs. fiskal -> time
value of money.
• Mengoptimalkan kredit pajak, contoh: kredit pajak luar negeri.
• Menghindari lebih bayar : klaim restitusi lebih bayar mengundang
pemeriksaan merinci dari otoritas perpajakan sehingga membuang waktu
dan sumber daya.
• Menghindari pelanggaran peraturan perpajakan.
Dian Andari, S.E., M.Sc.
Rambu-Rambu Perencanaan Pajak
• Undang-Undang Pidana Perpajakan
• Undang Undang KUP
• dan peraturan perundangan lain yang berlaku

Dian Andari, S.E., M.Sc.

Tax Evasion
“the reduction of tax by illegal means, including omission of taxable
income or transactions from tax declaration by fraudulent means”.

Penggelapan pajak (tax evasion) terjadi dengan penghilangan atau

kurang melaporkan objek pajak dan kadang didukung dengan rekayasa
illegal, akuntansi dan administrasi yang dimaksudkan untuk mengurangi
pajak terutang dari yang seharusnya.

Dian Andari, S.E., M.Sc.

Tax Avoidance
• “…as operating within the letter than the spirit of the
law.” (Institute of Business Ethics, 2013)
• Agressive: menggunakan instrumen finansial dan cara
lain (contoh: tax heaven)
• Tax avoidance sering dianggap immoral karena
merusak integritas sistem perpajakan.

Dian Andari, S.E., M.Sc.

 Hubungan Istimewa Related Party Transaction (RPT)
Third Party Transaction
“A” Ltd Ilustrasi UU PPh pasal 18 ayat 4 – PP No • Akuntansi: Related Party (Pihak Berelasi)
Thailand
94 2010 =
Hubungan istimewa
• Pajak: Special Relationship (Pihak dengan hubungan
1. memiliki <25% ekuitas, istimewa)
50% 2. Satu manajemen / teknologi/
ditugaskan,
3. keluarga ([sedarah, semenda] • RPT menjadi perhatian DJP
Fashion B [lurus, samping]) • Potensi pelaporan pajak terutang lebih rendah ->
4. Suami istri pisah harta pendapatan pajak negara lebih rendah
Singapura
• Mekanisme: Unfair Transfer Pricing (i.e. Cross
50% Border Transaction), fraudulent financial reporting (i.e.
25% modal (ekuitas) diakui utang > bunga = biaya >
C mengurangi EBT > pajak terutang understated)|penerima
Thread,
Bangladesh Button “bunga” tidak kena pajak dividen), SPC di tax haven, dsb.
Clothes
Fashion
D • Self Assessment berlaku
Marketing
Hongkong • Pasal 18 ayat (3) UU PPH No.36 year 2008 -> kesepakatan
Agency
harga transfer antara WP dan DJP (Advance Pricing
E Logistic
Agreement)
India F Co.
• Pasal 18 ayat (3a) -> kewenangan Kemenkeu (DJP)
Eksklusif utk B Indonesia mengawasi komponen biaya dan DER (ekuitas
(integrated data) milik menantu terselubung) apabila ada indikasi ketidakwajaran praktik
Waspada Tax Avoidance terkait hubungan istimewa. (lebih lanjut PMK
258/pmk.03/2008)
RELATED PARTY Antar
TRANSACTION Perusahaan
(RPT) Terafiliasi

TRANSFER
Mekanisme
PRICING
What is transfer pricing?
Transfer Pricing
• Transfer pricing is the price established in a transaction between
related persons.
• Transfer price practices can be used to avoid tax by
• Moving profit to low-tax country; or
• Moving loses by shifting deductible expenses to high-tax country.
• Authority must have power to set transfer prices to maintain fairness
in avoiding double-taxation for tax-payers engaging in cross-border
transactions. One country might aggressively regulate transfer prices
and loss its taxing right even though it is the source country since the
taxpayer choose lower-tax country.
 Double taxation is a serious possibility when multiple countries apply their
Double Taxation transfer pricing rules to the same transactions. Two countries need to agree
the one TP but should be justifiable.

Country A Country B

AB Group
COGS = Sales 150 Income
60 = 150 – 60
= 90
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ACo - Manufacturer BCo - Retailer

Double Taxation Scenario Country B Accepting TP $90 Scenario Country A Accepting TP $50
Income of ACo taxable in Country A: A’s Taxable Income in Country A A’s Taxable Income in Country A
Sales 90 Sales 90 Sales 50
Cost of Goods 60 Cost of Goods 60 Cost of Goods 60
Income 30 Income 30 Income -10
Income of BCo taxable in Country B: B’s Taxable Income in Country B B’s Taxable Income in Country B
Sales 150 Sales 150 Sales 150
Cost of Goods 50 Cost of Goods 90 Cost of Goods 50
Income 100 Income 60 Income 100
Total income of ACo and BCo 130 Total income of ACo and BCo 90 Total income of ACo and BCo 90
The Arm’s-Length Standard
1. Comparable Uncontrolled Price (CUP)
Widely accepted
Method Traditional Method
but difficult if it
incorporate
2. Resale Price Method intangible property

3. Cost-plus Method
Should be
4. Profit-split Method used as last
Transactional Profit Method
resort but now
5. Transactional Net Margin Method (TNMM) is not limited

or Comparable Profits Method (CPM)

Five Factors Comparing Controlled vs Non Controlled Transactions
1. The characteristics of the transferred property or 4. The economic substances
services
2. A functional analysis of the parties related to the 5. The business strategies pursued by the parties
transactions
3. The terms of the contract
Comparable Uncontrolled Price (CUP)
Method
Country X Country Y
• CUP Method determines
the Arm’s-Length price by
$47 $70 referring to the sales of
similar products to
COGS $40 unrelated person in the
XCo YCo (affiliate)
similar circumstances. It is
Unrelated customers
important that the
referred price is relevant
$47
(date) event when the
condition between related
party and unrelated party
1Co (non-affiliate)
is different.
Unrelated customers
 Resale-Price Method
Country X Country Y
• Resale-price method set
the arm’s length price for
the sale of goods between
related parties by
$56* $70 subtracting an
appropriate markup from
COGS $40
YCo (affiliate)
the price at which the
XCo goods are ultimately sold
Unrelated customers
to unrelated parties
ALP
= Price to Ultimate Unrelated Customers - (appropriate markup* Price to Ultimate Unrelated Customers)
= $70 - (20%*$70)
= $56
 Cost-Plus Method
Country X Country Y
• Cost-Plus Method
Cost-plus Method used in
manufacturing company if
the price to ultimate
$50* $X
customers is unknown. It
might happen if the
COGS $40
YCo (affiliate) manufacturer does not put
XCo
Unrelated customers label on the product and
affiliate brand decides the
ALP final price of the product.
= Cost + (Appropriate gross profit margin * Cost)
= $40 + (25% * $40) or 125% *$40
= $50
 Profit-Split Method
Country X Country Y
• Applied to common product
line, allocation of taxable
income depends on the related
$600
parties’ contribution to the
Research, patent, Repackage, market, income.
produce sales
Vaccines
• It is usually employed when
Vaccines
Cost = $300 Cost = $100 Unrelated customers there is no information about
similar condition/product
XCo YCo (affiliate)
characteristics such as
Split according to contribution intangible assets.
X:Y = 75 : 25
Total profit $600 - ($300+$100) • The transaction is not individual,
X’s profit = 75%*$200 = $150 but mass.
Y’s profit = 25%*$200 = $50
Transactional Net Margin Method (TNMM)
• Applied to decide AL Profit range in the tested related company to the unrelated
company. Then, the company can decide the taxable income. The calculation might
involve multiple unrelated party or statistical method. The indicator can be used are
rate of return on capital, operating profit to gross sales, gross profit to operating
expense. If the transfer price falls outside the profit range, the authority will adjust
it to the mid range.
• Example: ACo, a tested party, is engaged in business activities similar in complexity
and character to the activities of Xco and Yco, A Co is unrelated. Xco and Yco have
ratios of operating profits to gross receipts of 0.2 and 0.3, respectively. Aco has
gross receipts of 200,000. Under TNMM, Aco’s arm’s-length range of profits would
be from 40,000 to 60,000. Assuming the various conditions for application of TNMM
are met, Aco’s AL Profit would be considered to be in the range of 40,000 – 60,000.
RELATED PARTY Legal Issues or
TRANSACTION Ethical
(RPT) Issues?

Tax Planning
Tax TAX
Avoidance
Tax Evasion AVOIDANC
E
INCOME MINIMIZING
SHIFTING TAX
(?)
Current Issues in Taxation for
Multinational
TAX REFORM
Since 1983 to present
International
National

- G20 Pillar 1 (Unified Approach) RUU KUP:

- G20 Pillar 2 (Global Anti Base Erosion) - Pengukuhan administrasi perpajakan
- G7 (Global Minimum Tax Rate) - Ekstensi dasar perpajakan
- Keadilan (Equity dan Equality)

GAAR – Instrument for

mitigating tax avoidance

Alternative Minimum Tax

Why are those related to tax in
multinational company?

https://interactioninstitute.org/illustrating-equality-vs-equity/
GAAR - Instrument for mitigating
tax avoidance
• 43 countries adopting GAAR (excluding Indonesia)
• Current instrument: SAAR
• GAAR : General Anti Avoidance Rule
• SAAR : Specific Anti Avoidance Rule
- Limitation on Thin Capitalization (ratio of Debt and Equity)
- Deferment of dividend payment (Controlled Foreign Company)
- Transfer Mispricing (Arms Length Principle; Advanced Pricing
Agreement)
- Special Purpose Company in tax haven
 SAAR - Instrument for mitigating tax
avoidance
• Tax Authority has a right to redefine the
Debt amount of income and deductions and
How to fund determine debt as capital to calculate
multinational income tax (PPh) for taxpayers with special
companies relationships (Article 18 verse (3a) UU PPH
operation? Equity No.36 year 2008)

Limitation on Thin Capitalization (ratio of Debt

and Equity - DER) - dual rule
1. ALP: Arms Length Principle (Price
Illustration! transferred to related party should be
comparable with market price, as if
DER Company X 5:1 DER Company X 2:1 transaction is conducted with third party)
UU PPh Pasal 18 Industry 5:1 Industry 3:1
2. By looking at industry average OR referring
to PMK 169/PMK.10/2015
169/PMK.10/2015 4:1 4:1 • Ratio of 4:1
 SAAR - Instrument for mitigating tax
avoidance A Corp CFC (subsi)
Deferment of dividend payment
Tax
haven
Interest loan 10% (Controlled Foreign Company)
Country S
• PMK Nomor 93/PMK.03/2019
Country R

Parent
Send capital
of 100Bio
Lending 100Bio • Indonesia committed to apply
Company C
OECD BEPS Action 3 –
NORMAL AVOIDING the 2.5 Bio Designing effective CFC Rules
• Parent provide loan to C • Establishing A in tax haven (no tax at
100Bio, interest 10Bio
• R impose 15% on 10Bio =
all). No treaty between S and R • Approach: deemed dividend
1.5Bio
• Parent send capital to A (own 100%), A
• Parent can use it as tax lend it again to C
credit • When C pay interest to A, 20% tax
• Parent got interest imposed to A = 2Bio, C is the
income of 10Bio with withholder,
corporate tax rate 25% = • in S, the 2 Bio won’t be taxed
2.5 Bio • Save 500 Mio (2.5-2)
Why do we need GAAR
then?
General Anti Avoidance Rule
A provision that is not limited to certain subjects or objects. GAAR
will target a scheme that involves a transaction that generally
would not be carried out, other than for reasons of tax benefits
for taxpayers.
 Alternative Minimum
Tax Tax Return • Trend of reporting fiscal loss 5 years
consecutively, from 8% to 11%.
Revenue
• Yet…those companies are still expanding
Deductible Expenses and continue its operation.
Taxable Income • Indication: tax avoidance – transfer
mispricing
X (multiply with) tax rate
• AMT will not be imposed to a company that
Tax Liability experience loss naturally.
Tax Credit • 1% imposed on revenue
• PPh25
• Withheld (PPh 22,23)
• Pph (24)
Should company pay Over/under payment (PPh Underlying Theory
corporate tax if they 29/28)
experience loss? 1. Benefit Theory of Taxation
2. Ability to pay
What can company Is it feasible? 3. Canon of economy and simplicity
do?
 Global Minimum Tax
Rate
• Minimum Tax (15%) imposed on multinational companies
WHY?
• Prevent and/or mitigate profit shifting from high to
low tax country.
• Multinational companies are the product of
globalization (Cooper and Nguyen 2020).
• Digital companies are the product of digitalization.
• Digital company is able to avoid tax by having no
physical presence
• (one of) Negative effect of Globalization and
Digitalization: low country tax revenue
ISSUES?
• Not all countries are benefited from the
policy due to several factors: economy,
politic, monetary, etc.
• Low rate countries might be better off due
All should pay 15% at the to higher (15%) rate imposed. However, low
minimum! rate countries might be worsen off due to
the effect of low investment rate.
• High rate countries might be worsen off due
http://clipart-library.com/clipart/kTMbe7b9c.htm
to lower (15%) rate imposed. However, high
rate countries might be better off due to the
effect of high investment rate (reason of
investment is not only limited to tax rate)
• Tax is territorial. Tax sovereignty from each
jurisdiction should be of respect (Bird 2018).
Anti-Avoidance
• Ketentuan pencegahan penghindaran pajak:
• Specific Anti Avoidance Rule (SAAR)
• Ketentuan utk penghindaran pajak bersifat khusus
• Utk menghindari transaksi penghindaran seperti: (1) Transfer Pricing, (2)Thin
Capitalization, (3)Treaty Shopping, (4)Controlled Foreign Corp.
• General Anti Avoidance Rule (GAAR)
• Transaksi semata-mata untuk penghindaran pajak dalam bentuk melakukan
aktivitas/transaksi tertentu yang tidak punya substansi bisnis.

Dian Andari, S.E., M.Sc.

BEPS
OECD Action Plan 3
• Recommendations on the design of effective controlled foreign corporation
(CFC) rules to ensure digital activities do not unfairly benefit from them
(Action 3)
• Multinational enterprise in a digital business can earn income in a CFC in a low-tax
jurisdiction by locating key intangibles there and using those intangibles to sell digital
goods and services without that income being subject to current tax

Dian Andari, S.E., M.Sc.

BEPS
OECD Action Plan 7
• Modification of definition of permanent establishment (Action 7)
• Ensuring that core activities cannot inappropriately benefit from the exception from PE
status and artificial sales can’t be used to avoid PE status
• for instance, an online seller of tangible products or an online provider of advertising
service uses the sales force of a local subsidiary to negotiate and effectively conclude
sales with prospective large clients

Dian Andari, S.E., M.Sc.

BEPS
OECD Action Plan 8 - 10
• Revised transfer pricing guidance (Actions 8–10)
• Should evaluate the need for greater reliance on functional analyses (assets used,
functions performed, and risks assumed) and on value chain analyses and should also
address situations where comparables are not available because of the structures
designed by taxpayers and the unique intangibles involved.

Dian Andari, S.E., M.Sc.

References
• Amidu, M., COFFIE, W., & Acquah, P. (2019). Transfer Pricing, earnings management
and tax avoidance of fyirms in Ghana. Journal of Financial Crime, 1-26
• Arnold, Brian J. (2019) International Tax Primer 4 th edition. Netherland: Wolters Kluwer
• Bird, R. and Davis-Nozemack, K.(2016)‘Tax Avoidance as a Sustainability Problem’,
Journal of Business Ethics. Springer Netherlands, 151(4), pp. 1009–1025. doi:
10.1007/s10551-016-3162-2.
• Cooper, Maggie & Nguyen, Quyen T.K., 2020. “ Multinational Enterprises and corporate
tax planning: A review of literature and suggestions for a future research agenda.
International Business Review, Elsevier, vol. 29(3).
• Lee, S.; Yoon, S. (2012). “Income shifting using internal trading within business group”,
Korean J. Tax.Res., 29, 121–156.
• Organisation for Economic Co-operation and Development (OECD) (2015). Measuring
and Monitoring. Retrieved from http://www.oecd.org.
• Park, S. (2018), “Related Party Transactions and Tax Avoidance of Business Groups”.
Sustainability
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