Influence of Sales Tax on Luxury Goods Increase on Consumer Spending of Motor Vehicles

DOI

10.2991/aebmr.k.201222.014How to use a DOI?

Keywords

Sales Tax on Luxury Goods, Consumer Spending, Motor Vehicles

Abstract

The purpose of this research is to analyse the influence of sales tax on luxury goods on consumer spending of motor vehicles. The research approach is quantitative by using existing statistical data as well as other supporting data. The results of the study indicate that there was a substantial decrease in consumer spending before and after the introduction of the higher tax rate for luxuries. This would indicate that consumers used arbitrage by adjusting their behaviour as a result of the new higher rate. This research is expected to provide input for the government, especially Directorate General of Finance Institutions, and also for taxpayers, as study material related to the sales tax on luxury goods. This research is expected to provide information and be a reference material in sales tax on luxury goods and provide an overview on the influence of consumer spending on motor vehicles.

Copyright

© 2020, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Elsie Sylviana Kasim
PY  - 2020
DA  - 2020/12/23
TI  - Influence of Sales Tax on Luxury Goods Increase on Consumer Spending of Motor Vehicles
BT  - Proceedings of the International Conference on Business and Management Research (ICBMR 2020)
PB  - Atlantis Press
SP  - 99
EP  - 102
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.201222.014
DO  - 10.2991/aebmr.k.201222.014
ID  - Kasim2020
ER  -