| dc.description |
This study aimed at examining the influence of economic factors towards taxpayers’
voluntary compliance behavior by targeting SMEs in Dar es Salaam, Tanzania.
Specifically, the study determined the extent of tax compliance in the selected tax
region, examined the influence that perception on government spending has on
taxpayers’ voluntary compliance behavior, examined the influence of the individual
financial position on voluntary compliance behavior among taxpayers in the selected
region, examined the influence that perception on equity and fairness of tax rate on
taxpayers’ voluntary compliance behavior in Tanzania, and to found out whether or
not auditing influences taxpayer’s voluntary compliance behavior in Tanzania.
The study applied a cross – sectional research design whereby the mixed approach
that combining quantitative and qualitative approaches were adopted. Data was
collected from 100 conveniently selected taxpayers in Kinondoni tax region through
the survey questionnaire method whereas interview method were used to gather data
from TRA officials who work in Kinondoni tax region.
The collected data were analyzed using descriptive and inferential statistical
analyses. In analyzing the relation among the variables, the study used correlation
and regression analyses. The findings revealed that economic variables such as
perceptions about government spending, individual financial position, perceptions on
equity and fairness and probability of being audited had positive significant
relationship with taxpayers’ voluntary compliance behavior. The perception on
government spending has a high significant influence to individual taxpayers’
voluntary compliance behavior followed by probability of being audited. The study
recommends for wisely and fairly spending of government revenue to all regions,
continual provision of tax knowledge to the public and jointly provision of business
management and financial discipline skills to SMEs by various institutions. |
|