Abstract
The purpose of the study was to analyze the influence of understanding factors, sanctions and tax rates on MSME taxpayer compliance. The population of this research is MSME actors in the Special Region of Yogyakarta with purposive sampling technique. Research respondents totaled 58. Data analysis used multiple linear regression. The results of this study are MSME taxpayer compliance is influenced by understanding and witnesses, while tax rates have no effect. This research provides implications both theoretically and practically. In theory, this study extends research on taxpayer compliance. Meanwhile, in practice this research provides information to the Directorate General of Taxes about the factors that affect taxpayer compliance, so that this information can be used as consideration in making policies.
Keywords:MSMEs; Tax understanding; Tax sanctions; Tax rates.