INFLUENCE OF INTERACTION BETWEEN INSTITUTIONAL QUALITY AND TAXPAYERS’ BEHAVIOURS ON TAX FRAUD MANAGEMENT IN SOUTH WEST NIGERIA

Autor

  • Lukuman Adewale Jimoh Department of Accounting and Finance, Faculty of Humanity and Management Science, Kwara State University, Malete, Kwara State, Nigeria
  • Samuel Kayode Adekunle Department of Accounting and Finance, Faculty of Humanity and Management Science, Kwara State University, Malete, Kwara State, Nigeria
  • Mustapha Abdulrasaq Department of Accounting and Finance, Faculty of Humanity and Management Science, Kwara State University, Malete, Kwara State, Nigeria
  • Tajudeen John Ayoola Department of Management and Accounting, Faculty of Administration, Obafemi Awolowo University, Ile Ife, Osun State, Nigeria
  • Sarafa Adewumi Agbogun Department of Management and Accounting, Faculty of Administration, Obafemi Awolowo University, Ile Ife, Osun State, Nigeria
  • Saka Abdulsalam Tunde Department of Accounting and Finance, Faculty of Humanity and Management Science, Kwara State University, Malete, Kwara State, Nigeria

DOI:

https://doi.org/10.46827/ejsss.v8i1.1379

Słowa kluczowe:

institutional quality, taxpayers behaviours, tax fraud management

Abstrakt

Tax fraud remains the greatest challenge to the government across the world, but the alarming rate at which it is being perpetrated in Nigeria is of concern to the government. The government has lost billions of naira as a result of this. The involvement of taxpayers in tax fraud depends on the level at which they perceive the institution of governance. Hence, this study examined the influence of interaction between institutional quality and taxpayers’ behaviors on tax fraud management in south-west Nigeria. The study employed a quantitative method to generate data from the total population of 504,263 respondents. The sample size consisted of 400 taxpayers (companies and businesses) registered with the Federal Inland Revenue Service in southwest Nigeria. The data were analyzed using the partial least squares structural equation model (PLS-SEM). The interaction of institutional quality and taxpayer behaviors on tax fraud management was found to have a significant negative relationship (= -0.066, t = -1.763, p = 0.039, 0.05). According to this study, the sets of exogenous latent variables (i.e., institutional quality and taxpayer behaviors) explain 78% of the variance in tax fraud management. The study concluded that the working together of taxpayers’ perceptions of both low institutional quality and taxpayers’ behaviors has a significant influence on the tendency for taxpayers to engage in tax fraud management in south-west Nigeria. It was recommended that the better the morale of a taxpayer, the lower the tax fraud. Therefore, the government is advised to adopt policies and measures that can boost the taxpayers’ morality, which will in turn enable them to see tax fraud as a negative to their principled value system as law-abiding citizens. It is also recommended that tax authorities should be seen as taxpayers' friends by making their interactions with taxpayers less bureaucratic.

 

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Biogramy autorów

  • Lukuman Adewale Jimoh - Department of Accounting and Finance, Faculty of Humanity and Management Science, Kwara State University, Malete, Kwara State, Nigeria

    Lukuman Adewale Jimoh (PhD). Research interests: forensic accounting, fraud management, corporate governance ResearchGate: https://www.researchgate.net/profile/Lukuman-Jimoh

  • Samuel Kayode Adekunle - Department of Accounting and Finance, Faculty of Humanity and Management Science, Kwara State University, Malete, Kwara State, Nigeria
    Samuel Kayode Adekunle (PhD). Research Interests: taxation & auditing.
  • Mustapha Abdulrasaq - Department of Accounting and Finance, Faculty of Humanity and Management Science, Kwara State University, Malete, Kwara State, Nigeria

    Mustapha Abdulrasaq (PhD). Lecturer of Accounting. Research interests: management accounting, accounting theory,  taxation Google Scholar: https://scholar.google.com/citations?user=HX-VciUAAAAJ&hl=en

  • Tajudeen John Ayoola - Department of Management and Accounting, Faculty of Administration, Obafemi Awolowo University, Ile Ife, Osun State, Nigeria
    Ayoola Tajudeen John (PhD). Research interests: environmental, social and governance, audit. Google Scholar: https://scholar.google.com/citations?user=inIMzpgAAAAJ&hl=en
  • Sarafa Adewumi Agbogun - Department of Management and Accounting, Faculty of Administration, Obafemi Awolowo University, Ile Ife, Osun State, Nigeria

    Agbogun Sarafa Adewumi (PhD). Research interests: auditing, taxation, public sector accounting. https://www.researchgate.net/scientific-contributions/Agbogun-Sarafa-Adewumi-2165412497

  • Saka Abdulsalam Tunde - Department of Accounting and Finance, Faculty of Humanity and Management Science, Kwara State University, Malete, Kwara State, Nigeria
    Tunde Saka Abdulsalam (PhD), Lecturer of Accounting. 

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Pobrania

Opublikowane

2022-11-30

Numer

Tom 8 Nr 1 (2022)

Dział

Articles