Abstract
Findings from prior studies have confirmed the inconsistencies and weak relationship that exists between tax rates and tax compliance. This study, therefore, tested the strength of the relationship between tax rates and tax compliance of MSMEs by introducing tax knowledge as the moderating variable. From 500 questionnaires administered, 325 were collected and from data cleansing 304 respondents were tested. Stratified and proportional sampling techniques were used in selecting the samples. The study found that tax knowledge moderated the relationship that exists between the tax rates and tax compliance of MSMEs in Nigeria. Also, the study found that tax rates and tax knowledge have a significant effect on the tax compliance of MSMEs in Nigeria. Tax literacy is important in improving the basic tax education of the citizens and trust in government. The study, therefore, recommended that the government should include taxation in the curriculum of elementary classes in Nigeria.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callMore From: FUDMA Journal of Accounting and Finance Research [FUJAFR]
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
