ELECTRONIC FILING OF TAX RETURN AND TAX COMPLIANCE BEHAVIOUR IN KWARA STATE, NIGERIA
Yusuf Alabi Olumoh and Mubaraq Sanni
Volume 3 Issue 2
Abstract
Digitalization of tax system has promoted efficient electronic filing of tax return as well as enhancing tax compliance behavior across the world. However, over the years, tax compliance behaviour as a result of adoption of electronic filing of tax return has been subjected to several complaints and criticisms in Nigeria due to slow network, system failure, various submission errors in filing of tax return, cybercrime due to lack of internet security. The study therefore, examines the relationship between e-filing of tax return and tax compliance behavior in Kwara State. The specific objectives of this study were; (i) evaluate the effect of electronic tax filing system adoption on tax compliance behaviour in Kwara State, and (ii) examine the effect of attitude towards an electronic tax filing system on tax compliance behavior in Kwara State. The study adopted a survey research design and random sampling technique was employed to quantitatively select 222 active registered taxpayers in Kwara State. The primary data obtained was analyzed using a Partial Least Square-Structural Equation Modeling (PLS-SEM) technique analysis. This study found that adoption of e-tax filing and attitude towards e-tax filing have positive and significant effect on tax compliance behaviour as shown by t-values of 3.069, 3.042 with p-value of 0.003, 0.005 at 5% level of significance respectively. This implies that that adoption of e-filing of tax return and attitude towards e-filing of tax return have increased tax compliance rate significantly. The study recommends that KW-IRS should further scale up its electronic filing system thereby improving tax compliance rate. In addition, KW-IRS should continue to put more effort in ensuring a strong and robust security system standby to protect taxpayers’ confidential information transmitted over the internet against cybercrime. Keywords: E-tax filing system, Adoption, Attitude, Tax Compliance
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