Tax Knowledge Analysis of Millennials and Generation Z for Sustainability Development in Indonesia

Abstract

Sustainable development is increasingly recognized as essential for addressing global challenges, including economic inequality and environmental degradation. As younger generations come of age, their knowledge and attitudes towards sustainability become crucial in shaping future policies and practices. In Indonesia, the millennial and Generation Z cohorts represent a significant portion of the population, and their understanding of tax knowledge and its implications for sustainability development has not been extensively studied. Tax policies are pivotal in funding sustainable initiatives, yet their effectiveness largely depends on public comprehension and engagement. Despite the critical role of taxation in financing sustainability, there is limited research on the tax knowledge of Millennials and Generation Z in Indonesia, particularly in how this knowledge influences their views on sustainable development. This study aims to analyze the level of tax knowledge among Millennials and Generation Z in Indonesia and assess how this knowledge impacts their perspectives on sustainability development. The goal is to identify gaps in tax education and its correlation with sustainable practices. The analysis reveals varying levels of tax knowledge within these generational groups, with notable discrepancies affecting their understanding of how tax policies contribute to sustainability goals. Findings indicate that while both cohorts exhibit some awareness, there are significant gaps that hinder their effective participation in sustainability efforts. This research introduces a novel approach by linking tax knowledge directly to sustainability attitudes among Indonesian Millennials and Generation Z, offering new insights into the intersection of taxation and environmental stewardship. The study underscores the need for enhanced tax education tailored to younger generations to bridge knowledge gaps and foster greater engagement in sustainability initiatives. Policy recommendations include integrating comprehensive tax education into curricula and public awareness campaigns to better align tax knowledge with sustainable development objectives.