Compliance and Non Compliance Behavior of Business Profit Taxpayers’ Towards the Tax System: A Case Study of Mekelle City, Ethiopia
Journal Title: Scholars Journal of Economics, Business and Management - Year 2014, Vol 1, Issue 10
Abstract
In developing countries taxation is a challenging topic and has attracted increasing attention in the last two decades. Many problems observed like poor administration, failing to collect sufficient tax revenues, tax structures where tax horizontal and vertical equity considerations are not integrated, lack of government and economic stability. In many developing countries it is observed that there is low capacity of tax administration to monitor compliance among taxpayers. The voluntary compliance behavior of the tax payers is determined by various factors and identifying these factors and treating them accordingly should be the central premises of any tax system in order to maintain voluntary compliance with taxation in Mekelle City, Ethiopia. Based on this fact, a survey data for this study were collected based on questioners from a sample of Mekelle city business income tax payers by distributing the total sample purposely to three sub cities namely Kedamay weyane ,Hawelti and Adi-haki using proportional sampling technique. The scope of the study was limited to individual business income tax payers of the three sub- cities. Data were collected from 180 respondents and analyzed using descriptive statistics such as mean and standard deviation. The study was summarized and presented in tabular form representing proportions and percentages are used in analyzing the data collected. Based on the response of the respondents, certain factors were found to be the determinants of taxpayers’ voluntary compliance. These are tax fairness and equity, organizational strength of the tax authority, awareness level of the taxpayers, socio-cultural factors, and attitude of taxpayers towards the government. Keywords: Tax revenues, voluntary compliance, business profit tax payers and tax administration system etc.
Authors and Affiliations
Dr. Suresh Vadde
Keywords
Related Articles
- EP ID EP384833
- DOI -
- Views 87
- Downloads 0
An empirical analysis of stock market liquidity in China
Abstract: In capital markets, their liquidity is the most important thing to measure the state of the markets. To some extent, the liquidity of capital markets decides their operation state. It is not only an important p...
Accountants’ Behavioural Intention to Use Forensic Accounting Techniques for Fraud Prevention and Detection in Nigeria
Fraud is a global problem. However, the rate and nature of fraud in Nigeria is quite alarming. The study therefore examined the behavioural intention of accounting practitioner to use forensic accounting techniques in fr...
B2B Marketing: Customer Orientation and Relationship Marketing of Suppliers in Automotive Industry
The purpose of our paper is to examine the role of marketing in suppliers of automotive industry. In the first part of our study we summarise the pieces of research of the Hungarian companies those analysed the main ques...
Are you ready for the property tax?
Abstract: The property tax has always been in the center of topic. Being the main content of the new round of tax revolution, it has been exposed to us formally. The government, as the department which can do the macro-c...
More Accurately Estimating Panel Data Models: A Comparison of Quasi- vs. First-differencing Approaches
This study examines whether the consistency and the efficiency can be improved in estimating panel data models when the sample size is realistically finite. In various cases we compare the quasi- and the first-differenci...