Examining Tax Compliance Of Small And Medium-Sized Enterprises In The Tamale Metropolis

ABSTRACT

This study examines compliance with tax laws by small and medium-sized enterprises (SMEs) in Tamale Metropolis. It is fixated on tax knowledge, factors of tax compliance; the measures tax authorities adopt to encourage tax compliance and the relationship between components of tax knowledge and tax compliance. In an attempt to fill a gap in research regarding tax compliance of SMEs in the Tamale Metropolis, the study adopted the descriptive survey and cross-sectional study design. Stratified sampling and simple random sampling techniques were used to select a sample size of 265 from a total population of 851 small and medium-sized enterprises (SMEs). A close-ended questionnaire was employed in gathering primary data for the study. The study was analysed using descriptive statistics and multiple regression. Key findings from the study suggest that the tax knowledge of owners/managers of SMEs is low and that major factors contributing to tax compliance among SMEs in the Tamale Metropolis include complexity of the tax laws, perception of government spending, profit level of businesses and the rate of tax. The study concludes that there is a significant relationship between tax knowledge and tax compliance. It is thus recommended that, to improve voluntary tax compliance, tax authorities should simplify the tax laws and provide adequate tax training and education to SMEs to enhance efficient tax collection. SMEs should be encouraged to keep proper accounting records and file their tax returns promptly. Finally, promoting taxpayers‟ knowledge about awareness of offences and penalties could increase voluntary tax compliance by SMEs.

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APA

WAHABU, A (2021). Examining Tax Compliance Of Small And Medium-Sized Enterprises In The Tamale Metropolis. Afribary. Retrieved from https://tracking.afribary.com/works/examining-tax-compliance-of-small-and-medium-sized-enterprises-in-the-tamale-metropolis

MLA 8th

WAHABU, ABUKARI "Examining Tax Compliance Of Small And Medium-Sized Enterprises In The Tamale Metropolis" Afribary. Afribary, 06 Apr. 2021, https://tracking.afribary.com/works/examining-tax-compliance-of-small-and-medium-sized-enterprises-in-the-tamale-metropolis. Accessed 25 Nov. 2024.

MLA7

WAHABU, ABUKARI . "Examining Tax Compliance Of Small And Medium-Sized Enterprises In The Tamale Metropolis". Afribary, Afribary, 06 Apr. 2021. Web. 25 Nov. 2024. < https://tracking.afribary.com/works/examining-tax-compliance-of-small-and-medium-sized-enterprises-in-the-tamale-metropolis >.

Chicago

WAHABU, ABUKARI . "Examining Tax Compliance Of Small And Medium-Sized Enterprises In The Tamale Metropolis" Afribary (2021). Accessed November 25, 2024. https://tracking.afribary.com/works/examining-tax-compliance-of-small-and-medium-sized-enterprises-in-the-tamale-metropolis