Journal of Tax Reform
How Does the Public React to the Electric Vehicle Tax Incentive Policy? A Sentiment Analysis
Agung Septia Wibowo 1, Dovi Septiari 2
1 Directorate General of Taxes, Jakarta, Indonesia
2 Universitas Negeri Padang, Padang, Indonesia
Abstract
While there are arguments suggesting that tax incentives can expedite the adoption of electric vehicles (EVs), there are also counterarguments proposing that these incentives may exacerbate external costs. As a result, the government may need to incorporate public opinion as an input in formulating the most suitable approach to promote the adoption of electric vehicles within society. The purpose of this study is to investigate public sentiment on EV tax incentives in Indonesia through Twitter. This study utilizes text mining to examine public attitudes and sentiments toward EV using Twitter data. The sentiment analysis model employed is the Indonesian RoBERTa Base Sentiment Classifier. The data utilized in this study consists of Twitter posts spanning from May 2022 to May 2023. The final dataset for analysis comprises 99,856 tweets, each identified by a unique tweet ID. The results show that neutral sentiment dominating the tweet post from negative and positive sentiment. We also found that 56% are supporters and 44% are opposing groups. Tax incentive policies may not always be supported in terms of being considered unfair or inappropriate. Our finding shows three topics that are important for the public about EV: the price of electric vehicles, environmental issues, and EV infrastructure. This study demonstrates that tax incentives or price subsidies may not consistently receive positive perceptions or full support from society. Certain policies considered by specific stakeholders may diminish the effectiveness and expected outcomes of these measures. Our findings have several contributions for knowledge development and tax policy makers.
Keywords
public react, electric vehicle, tax incentive, sentiment analysis, tax policy
JEL classification
H23, M48References
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About Authors
Agung Septia Wibowo – S.Akt., M.Acc., Tax officer of Directorate General of Taxes, Ministry of Finance of Indonesia, Jakarta, Indonesia (Jl. Jend. Gatot Subroto No. 40-42, Jakarta, Indonesia 12190 and Ph.D Student, Department of Accounting, Faculty of Economics and Business, Universitas Gadjah Mada, Yogyakarta, Indonesia (Jl. Sosio Humaniora, No. 1, Yogyakarta, Indonesia, 55281). ORCID: https://orcid.org/0009-0008-9360-831X; e-mail: agungseptiawibowo@mail.ugm.ac.id
Dovi Septiari – S.E., M.Sc., Ak., Lecturer of Department of Accounting, Faculty of Economics and Business, Universitas Negeri Padang, Padang, Indonesia (Jl. Prof. Dr. Hamka, Padang, Indonesia, 25131), and Ph.D Student, Department of Accounting, Faculty of Economics and Business, Universitas Gadjah Mada, Yogyakarta, Indonesia (Jl. Sosio Humaniora, No. 1, Yogyakarta, Indonesia, 55281). ORCID: https://orcid.org/0000-0002-6044-6472; e-mail: dovi.septiari@fe.unp.ac.id
For citation
Wibowo A.S., Septiari D. How Does the Public React to the Electric Vehicle Tax Incentive Policy? A Sentiment Analysis. Journal of Tax Reform. 2023;9(3):413–429. https://doi.org/10.15826/jtr.2023.9.3.150
Article info
Received September 1, 2023; Revised October 5, 2023; Accepted October 25, 2023
DOI: https://doi.org/10.15826/jtr.2023.9.3.150
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