A qualitative research on the factors affecting the enforcement power of tax penalties: Recommendations on tax penalties

States have economic, financial, and social duties and responsibilities. From the past to the present, it is observed that these obligations of states have been increasing. This situation also causes public expenditures to rise gradually. The largest source of revenue that states use to finance public expenditures is taxes. As public expenditures increase, tax revenues become more important for states. States, which hold the power of taxation, are trying to increase their tax capacities on one hand, while fighting against tax evasion and avoidance on the other. In order to collect tax revenues at levels that can finance public expenditures, the tax system and tax laws need to be arranged in accordance with the conditions of the time. However, no matter how effective tax systems and tax laws are, states sometimes forego part of their receivables today. This may be due to the mission imposed on states by the concept of the welfare state, or it may stem from the aim of collecting part of the receivable that could not be collected on time in the short term. Tax amnesty, reduction of penalties, reconciliation, repentance and reform, and the institution of effective repentance are among the practices where this situation is observed. While these practices have positive effects such as collecting part of the uncollected tax receivable in the short term and reintegrating taxpayers who do not fulfill their obligations on time into the tax system by reconciling them with the tax administration, they also cause some negative consequences. The basis of the negative consequences is the weakening of the deterrent power of tax penalties. Frequent application of these institutions creates expectations among taxpayers. As a result of this expectation, not paying tax debts on time becomes a habit, negatively affecting taxpayers' tax awareness and leading to negative deviations in tax ethics. In the study, the interview technique was used in qualitative research to determine the applications that reduce the deterrent power of tax penalties and their effects. The interview technique was applied to a total of 21 participants from the professional groups of tax inspectors, financial advisors, and members of parliament. Participants expressed the view that tax amnesty, reduction of penalties, reconciliation, repentance and reform, and the institution of effective repentance reduce the deterrent power of tax penalties and taxpayers' tax awareness. Within the framework of these views, the main objective of the study is to make suggestions within the scope of existing legal norms to eliminate the problematic issues.