TAXPAYER ADAPTATION IN THE CORETAX ERA: EXAMINING TAX COMPLIANCE AND THE MODERATING ROLE OF DIGITAL LITERACY

Abstract

Indonesia's transition toward the Coretax administration system has exposed a persistent gap between the pace of digital transformation and the readiness of individual taxpayers, particularly within heterogeneous corporate workforces such as PT. XYZ. This study examines the influence of tax knowledge and Coretax adaptation/perception on individual taxpayer compliance, positioning digital literacy as a moderating variable. A quantitative explanatory design was applied, drawing data from fifty-two employees through a structured Likert-scale questionnaire and analyzing it using Partial Least Squares Structural Equation Modeling. The measurement model confirmed adequate convergent validity and construct reliability across all four latent variables. Structural testing revealed that tax knowledge exerted no significant direct effect on compliance, whereas Coretax adaptation/perception demonstrated a strong, significant influence. Digital literacy meaningfully strengthened both pathways, with a comparatively greater reinforcing effect on the adaptation–compliance relationship than on the knowledge–compliance relationship. These findings indicate that compliance within a digitally administered tax system depends jointly on system-level readiness and digital capability rather than cognitive knowledge alone. The study recommends that PT. XYZ integrate structured digital-literacy training with conventional tax education and suggests future research extend the sample across multiple organizations using longitudinal designs.