Impact of Big Five personality traits on tax non‐compliance intentions: Mediation effect of perceived tax‐fairness

Abstract

Established behavioural theories have been used to study the impact of perceptions, attitudes and behaviour on tax compliance however the literature have overlooked the relationship between the personality traits of taxpayers as defined by the five‐factor model (FFM) on tax non‐compliance. This study aims to fill this gap by proposing a model using the FFM personality traits that examines the impact of the Big Five personality on tax non‐compliance intentions, and investigates whether the relationships are mediated by tax‐fairness perception. Survey questionnaire were collected from 503 taxpayers working in various professions in Malaysia. Using structural equation modelling to conduct the multivariate analysis, the results were determined using Smart PLS. The results of the analysis indicate that conscientiousness, agreeableness and extraversion are negatively related to tax non‐compliance intention, while neuroticism positively influences tax non‐compliance intention. Moreover, openness to new experience had no significant effect on tax non‐compliance intention. Finally, tax‐fairness perception partially mediates all the relationships except for openness.

The strategic effect of corporate reputation on customer citizenship behavior: an empirical verification

“…Personality in particular, has long been studied for its effect in several business fields, including marketing (Tan et al 2004 ), accounting and reporting (Marquez-Illescas et al 2019 ; Mahmoudian et al 2021 ), strategic decision-making (Hrazdil et al 2021 ), and entrepreneurship (Kraus et al 2018 ; Palmer et al 2019 ; Schulz and Flickinger 2020 ; Bellmann and Hübler 2022 ; Salmony and Kanbach 2022 ). Personality has also been used as an explanatory variable in several research studies (Choi and Hwang 2019 ; Clark et al 2020 ; Iqbal et al 2021 ; Jassem et al 2021 ; Maran et al 2022 ). Mount et al ( 2005 pp.…”