Job performance, knowledge and perceived power of tax officers on tax morale amongst agrochemical traders in Ghana

Abstract

PurposeThe paper aims to examine agrochemical traders’ tax morale in three Ghanaian regions.Design/methodology/approachPrimary data were collected from 92 respondents using structured questionnaires. A multistage sampling technique was employed and used in selecting respondents.. Descriptive statistics, factor analysis and quantile regression analysis were used to analyse data obtained via the questionnaires.FindingsThe study found tax reporting knowledge, tax calculating knowledge and tax payment knowledge to be the keen factors influencing agrochemical traders’ tax knowledge. It was also revealed that age, religion and marriage positively influence the tax morale of traders. Inversely, gender, high level of education and monthly sales were found to affect tax morale negatively. Moreover, trust (respect, trustworthiness and expertise knowledge) negatively influenced tax morale. Authorities’ tax knowledge and power (sanction and lockdown) were revealed to impact tax morale positively. However, tax morale decreases amongst agrochemical traders with higher tax morale when sanction increases.Originality/valueUnlike previous studies which focussed on tax morale amongst individuals and firms outside the agribusiness sector, this study examined the tax morale within the informal agrochemical trading sector, which has recently attracted colossal patronage due to the high usage of agrochemicals amongst farmers in Africa and Ghana. This study also assumed tax morale to be at different levels; hence the factors that affect the morale at different levels differ. Therefore, the study examined the factors influencing tax morale amongst agrochemical traders by segregating tax morale into quartiles. Relating to theory, the economic deterrence theory was used to ground the study, which is not usually used in most tax morale studies.

Antecedents of students' intention to be sustainable accountants: evidence from Indonesia

“…This contradicts research (Radwan & Khalil, 2021) showed the positive influence of knowledge on their support for sustainability. Another study (Kumi & Bannor, 2023) also found that knowledge positively affects individual behavior. Although it does not directly affect students, knowledge resulting from student learning is essential and must be considered.…”

Voluntary and enforced tax compliance determinants and impact among agrochemical businesses in Ghana

“…Previous studies have focused on a review of agrochemicals usage and the Ghanaian Environment (Fianko et al, 2011), an examination of the regional policies governing pesticide application in the nation (Ghana precisely) (Diarra and Tasie, 2017), tax policy and farm capital investment (Williamson & Stutzman, 2016), the impact of the threat on tax compliance (Mohdali, Isa, & Yusoff, 2014), SMEs' attitudes towards tax compliance in Zimbabwe (Nyamwanza, Mavhiki, Mapetere, & Nyamwanza, 2014), To Pay or Not to Pay? Citizens' Attitude Towards Taxation in Kenya, Tanzania, Uganda and South Africa (Ali, Fjeldstad, & Sjursena, 2014), underreporting of income among the self-employed in Europe (Kukk, Paulus, & Staehr, 2020), and job performance, knowledge and perceived power of tax officers on tax morale of agrochemical traders in Ghana (Kumi & Kwasi Bannor, 2023). Hence, this study fills the gap by touching on the determinants of voluntary and enforced tax compliance among agrochemical traders.…”

Tax Compliance in Slovenia: An Empirical Assessment of Tax Knowledge and Fairness Perception

“…A prevailing agreement in tax compliance research highlights the important role of a fair tax system in shaping taxpayers' compliance behavior (Taing and Chang 2020;Nguyen 2022;Inasius 2019a). Therefore, education on taxation has a positive impact on tax knowledge (Kumi and Kwasi 2023;Gunaasih 2022), leading to a positive influence on the perceptions of tax fairness, which in turn significantly contributes to enhanced tax compliance, Mukhlis et al (2015).…”

“…To build a new tax culture centered on a "culture of tax compliance" means educating taxpayers to perceive tax payments as an integral part of their relationship with the government, built upon rights and responsibilities (OECD 2021). Tax education plays a critical role in promoting voluntary tax compliance, enhancing taxpayer understanding of the tax system, improving their perceptions of the tax system's fairness, and building trust in tax authorities, leading to more effective compliance and enforcement (Mukhlis et al 2015;Gunaasih 2022;Kumi and Kwasi 2023). Merely informing taxpayers about their tax obligations falls short (Moore 2019;Craig and Slemrod 2022).…”

“…Increasing levels of financial and tax literacy could yield a dual benefit: not only would enhanced financial and tax literacy positively affect tax morale, but this impact might be amplified through the influence of fairness (Phyllis and Balavac-Orlic 2022). Higher education levels lead to increased tax knowledge (Kumi and Kwasi 2023;Gunaasih 2022;Fauziati et al 2016;Saad 2014;Eriksen and Fallan 1996). Conversely, low levels of tax knowledge have been linked to negative attitudes toward tax payment (Inasius 2019a(Inasius , 2019bAli and Ahmad 2014;Lewis 1982).…”