Intergenerational Perceptions of Coercive and Legitimate Power

Elisa Tjondro; Joscelind Setiabudi; Alexandro Christian Joyo

doi:10.21831/economia.v15i1.23998

Intergenerational Perceptions of Coercive and Legitimate Power

Elisa Tjondro, Petra Christian University, Indonesia
Joscelind Setiabudi, Petra Christian University, Indonesia
Alexandro Christian Joyo, Petra Christian University, Indonesia

10.21831/economia.v15i1.23998

Abstract

Abstract

This is the first research to examine the perception of the coercive and legitimate power of tax authority between three generations, namely Millennials, X and Baby Boomers. Method of data collection used a survey with a total sample of 120 taxpayers from two types of business, retail/production and services/professions in five major cities in Indonesia (Jakarta, Surabaya, Bandung, Semarang, and Denpasar). This survey was held in 2018. This study used a quota sampling technique with Custom Factorial ANOVA as a statistical tool. We found Millennials and X have a perception that Indonesia tax authority implemented coercive and legitimate power in balance conditions. However, different perceptions found in Baby Boomers that thought of tax authority had been implemented coercive power with more severe punishment. The study also found differences in perceptions of vertical equity, horizontal equity, and exchange equity between the generations.

Keywords: intergenerational, coercive power, legitimate power, vertical equity, horizontal equity, exchange equity.

Persepsi Kekuatan Koersif dan Kekuatan Legitimasi Antargenerasi

Abstrak

Penelitian ini adalah penelitian pertama yang menguji persepsi kekuatan koersif dan kekuatan legitimasi pada otoritas pajak antara tiga generasi, yaitu Millennials, X dan Baby Boomers. Peristiwa yang terjadi selama periode tertentu mempengaruhi persepsi antar generasi. Metode pengumpulan data menggunakan survei dengan total sampel 120 wajib pajak dari dua jenis bisnis, ritel/produksi dan jasa/profesi di lima kota besar Indonesia (Jakarta, Surabaya, Bandung, Semarang, dan Denpasar). Survei diadakan pada tahun 2018. Penelitian menggunakan teknik kuota sampling dengan Custom Factorial ANOVA sebagai alat statistik. Hasil tes menemukan Milenial dan X menilai bahwa otoritas pajak menerapkan kekuatan koersif dan kekuatan legitimasi dalam kondisi seimbang. Namun, persepsi berbeda ditemukan pada Baby Boomers yang berpikir otoritas pajak telah menerapkan kekuatan koersif dengan hukuman yang lebih berat kepada wajib pajak. Studi ini juga menemukan adanya perbedaan persepsi terkait ekuitas vertikal, ekuitas horisontal, dan pertukaran ekuitas antar generasi.

Kata kunci: antar generasi, kekuatan koersif, kekuatan legitimasi, ekuitas vertikal, ekuitas horizontal, pertukaran ekuitas.

Keywords

intergenerational; coercive power; legitimate power; vertical equity; horizontal equity; exchange equity

Full Text:

PDF

References

Andreoni, J., Erard, B., Feinstein, J., Andreoni, J., & Feinstein, J. (1998). Tax compliance. Journal of Economic Literature, 818–860.

Andringa, T. C., van den Bosch, K. A., & Vlaskamp, C. (2013). Learning autonomy in two or three steps: linking open-ended development, authority, and agency to motivation. Frontiers in Psychology, 4, 1–18.

Ariel, B. (2012). Deterrence and moral persuasion effects on corporate tax compliance: findings from a randomized controlled trial. Criminology, 50(1), 27–69.

Becker, G. S. (1968). Crime and Punishment : An Economic Approach. Journal of Political Economy, 76, 169–217.

Bencsik, A., & Machova, R. (2016). Knowledge sharing problems from the viewpoint of intergeneration management. In Proceeding of 4th International Conference on Management, Leadership, and Governance: ICMLG2016 (p. 42).

Brosdahl, D. J. C., & Carpenter, J. M. (2011). Shopping orientations of US males: A generational cohort comparison. Journal of Retailing and Consumer Services, 18, 548–554. https://doi.org/10.1016/j.jretconser.2011.07.005

Caspi, A., & Roberts, B. W. (2001). Personality development across the life course : the argument for change and continuity. Psychological Inquiry, 12(2), 49–66.

Darussalam, Kristiaji, B. B., & Klise, H. (2013). Desain kelembagaaan administrasi perpajakan: perlukah Ditjen Pajak terpisah dari Kementerian Keuangan. Retrieved from https://www.ortax.org/ortax/?mod=issue&page=show&id=54&list=&q=&hlm=5

Das, T. K., & Teng, B. (2001). Trust, control, and risk in strategic alliances: an integrated framework. Organization Studies, 22(2), 251–283.

Dencker, J. C., Joshi, A., & Martocchio, J. J. (2008). Towards a theoretical framework linking generational memories to workplace attitudes and behaviors. Human Resource Management Review, 18(3), 180–187.

Efebera, H., Hayes, D. C., Hunton, J. E., & O’Neil, C. (2015). Tax compliance intentions of low-income individual taxpayers. Advances in Accounting Behavioral Research, 7, 1–25.

Gangl, K., Hofmann, E. B., Pollai, M., & Kirchler, E. (2012). The Dynamics of Power and Trust in the “Slippery Slope Framework” and its Impact on the Tax Climate. Ssrn Electronic Journal, 1–27.

Gangl, K., Hofmann, E., & Kirchler, E. (2015). Tax authorities’ interaction with taxpayers : A conception of compliance in social dilemmas by power and trust. New Ideas in Psychology, 37, 13–23. Retrieved from http://dx.doi.org/10.1016/j.newideapsych.2014.12.001

Gentry, W. A., Griggs, T. L., Deal, J. J., Mondore, S. P., & Cox, B. D. (2011). A comparison of generational differences in endorsement of leadership practices with actual leadership skill level. Consulting Psychology Journal, 63(1), 39–49. https://doi.org/10.1037/a0023015

Gursoy, D., Maier, T. A., & Chi, C. G. (2008). Generational differences : An examination of work values and generational gaps in the hospitality workforce, 27, 448–458. https://doi.org/10.1016/j.ijhm.2007.11.002

Hartl, B., Hofmann, E., Gangl, K., Hartner-Tiefenthaler, M., & Kirchler, E. (2015). Does the sole description of a tax authority affect tax evasion? -The impact of described coercive and legitimate power. PLoS ONE, 10(4), 1–19.

Hartman, J. L., & Mccambridge, J. (2011). Optimizing Millennials’ communication styles. Businees Communication Quarterly, 74(1), 22–44. https://doi.org/10.1177/1080569910395564

Hofmann, E., Gangl, K., Kirchler, E., & Stark, J. (2014). Enhancing tax compliance through coercive and legitimate power of tax authorities by concurrently diminishing or facilitating trust in tax authorities. Law and Policy. https://doi.org/10.1111/lapo.12021

Hofmann, E., Hartl, B., Gangl, K., Hartner-Tiefenthaler, M., & Kirchler, E. (2017). Authorities’ coercive and legitimate power: The impact on cognitions underlying cooperation. Frontiers in Psychology, 8, 1–15.

Jackson, V., Stoel, L., & Brantley, A. (2011). Mall attributes and shopping value: Differences by gender and generational cohort. Journal of Retailing and Consumer Services, 18, 1–9. https://doi.org/10.1016/j.jretconser.2010.08.002

Jurkiewicz, C. L. (2000). Generation X and the Public Employee. Public Personnel, 29(1), 55–74.

Jurney, S., Rupert, T., & Wartick, M. (2017). Generational differences in perceptions of tax fairness and attitudes towards compliance. Advances in Taxation, 24, 163–197. https://doi.org/10.1108/S1058-749720170000024004

Kastlunger, B., Lozza, E., Kirchler, E., & Schabmann, A. (2013). Powerful authorities and trusting citizens : The Slippery Slope Framework and tax compliance in Italy. Journal of Economic Psychology, 34, 36–45. Retrieved from http://dx.doi.org/10.1016/j.joep.2012.11.007

Kirchler, E., Hoelzl, E., & Wahl, I. (2008). Enforced versus voluntary tax compliance : The “slippery slope” framework. Journal of Economic Psychology, 29, 210–225. https://doi.org/10.1016/j.joep.2007.05.004

Kneeshaw, K., Vaske, J. J., Bright, A. D., & Absher, J. D. (2004). Acceptability norms toward fire management in three national forests. Environment & Behavior, 36(4), 592–612. https://doi.org/10.1177/0013916503259510

Kock, N., & Lynn, G. . (2012). Lateral Collinearity and Misleading Results in Variance-Based SEM: An Illustration and Recommendations. Journal of The Association for Information Systems, 13(7), 546–580.

Kramer, R. M. (1999). Trust and distrust in organizations: emerging perspectives , enduring questions. Annual Review Psychology, 50, 569–598.

Lyons, S. (2003). An Exploration of generational values in life and at work (Doctoral thesis). Carleton University, Ottawa, Ontario, Canada.

Misbakhun, H. M. (2018). Reformasi perpajakan untuk meningkatkan kesadaran pajak: disampaikan pada seminar “meningkatkan kesadaran pajak”, diselenggarakan oleh Ditjen Pajak Kementerian Keuangan RI, Jakarta.

Molenmaker, W. E., de Kwaadsteniet, E. W., & van Dijk, E. (2014). On the willingness to costly reward cooperation and punish non-cooperation: The moderating role of type of social dilemma. Organizational Behavior and Human Decision Processes, 125(2), 175–183. https://doi.org/10.1016/j.obhdp.2014.09.005

Mulder, L. B., Verboon, P., & Cremer, D. D. E. (2009). Sanctions and moral judgments : The moderating effect of sanction severity and trust in authorities. European Journal of Social Psychology, 269(39), 255–269. https://doi.org/10.1002/ejsp

Neal, S., & Wellins, R. (2018). Generation X not millennials is changing the nature of work. CNBC. Retrieved from https://www.cnbc.com/2018/04/11/generation-x--not-millennials--is-changing-the-nature-of-work.html#

Noble, S. M., & Schewe, C. D. (2003). Cohort segmentation : An exploration of its validity. Journal of Business Research, 56, 979–987.

Obal, M., & Kunz, W. (2013). Trust development in e-services: A cohort analysis of Millennials and Baby Boomers. Journal of Service Management, 24(1), 45–63. https://doi.org/10.1108/09564231311304189

Parry, E., & Urwin, P. (2011). Generational Differences in Work Values: A Review of Theory and Evidence. International Journal of Management Reviews, 13, 79–96. https://doi.org/10.1111/j.1468-2370.2010.00285.x

PwC. (2013). PwC’s NextGen: a global generational study. Retrieved from https://www.pwc.com/gx/en/hr-management-services/pdf/pwc-nextgen-study-2013.pdf

Ramli, F., Samdin, Z., Noor, A., Ghani, A., Roslan, M., & Kasim, M. (2018). Factors affecting users’ perception towards conservation of biodiversity in Matang Mangrove Forest Reserve (MMFR), Perak, Malaysia. International Journal of Business and Society, 19(1), 26–36.

Raven, B. H., Schwarzwald, J., & Koslowsky, M. (1998). Conceptualizing and measuring a power/interaction model of interpersonal influence. Journal of Applied Social Psychology, 28(4), 307–332.

Republic of Indonesia. (2007). Act of The Republic of Indonesia number 28 the year 2007 concerning General Provision and Tax Procedures.

Republic of Indonesia. (2012). Memorandum of Understanding between the Ministry of Finance and the Indonesian National Police MOU-1 / MK.09 / 2012 concerning law enforcement in the field of taxation.

Republic of Indonesia. (2014). Regulation of the Minister of Finance No 111 / PMK.03 / 2014 about Tax Consultant.

Setiaji, H. (2018). Lepas dari Kemenkeu, Saatnya Otoritas Pajak Berdiri Sendiri. CNBC Indonesia. Retrieved from https://www.cnbcindonesia.com/news/20180110135643-4-1113/lepas-dari-kemenkeu-saatnya-otoritas-pajak-berdiri-sendiri

Siahaan, F. O. P. (2005). The influence of tax fairness, ethical attitudes and commitment on taxpayer compliance behavior. The International Journal o f Accounting and Business Society, 13(1), 33–44.

Sittenthaler, S., Steindl, C., & Jonas, E. (2015). Legitimate vs. illegitimate restrictions â€“ a motivational and physiological approach investigating reactance processes. Frontiers in Psychology, 6, 1–11. https://doi.org/10.3389/fpsyg.2015.00632

Taylor, T. . (2017). Workplace Flexibility For Millennials: Appealing To A Valuable New Generation. Retrieved from https://www.forbes.com/sites/adp/2017/12/07/workplace-flexibility-for-millennials-appealing-to-a-valuable-new-generation/#453b7c937fe6

Tjondro, E., Santosa, K. G., & Prayitno, N. (2019). Perceptions of service-orientation and trust of tax officers between millennials, x, and baby boomers. MIX: Jurnal Ilmiah Manajemen, 9(1), 1–18.

DOI: https://doi.org/10.21831/economia.v15i1.23998