DETERMINANTS OF TAX COMPLIANCE BEHAVIOR OF TAXPAYERS IN THE CASE OF CATEGORY ‘A’ TAXPAYERS IN SELECTED SUB CITY IN ADDIS ABABA CITY ADMINISTRATION REVENUE OFFICE

Abstract

The general objective of this study is to assess “Determinants of Tax Compliance Behavior in the Case of Category ‘A’ Taxpayers in Selected Sub City in Addis Ababa City Administration Revenue Office’’ This research had a total target population of 7941 taxpayers’ and among this total population 5941 active taxpayers in the year 2013/2021 at Addis Ababa No 2 Middle Level Taxpayers Revenue Branch office and the remaining 2000 also active Category “A” taxpayers at Nifas Silk Lafto Sub City Revenue Branch Office in the year 2013/2021. The researcher distributed 381 out of its 20 questionnaires was rejected 361 was returned with feedback. Data analysis was done by SPSS window version 25 and MS Excel 2010 using frequency descriptive statistical tools and Spearman correlation and liner regressions analysis were used in analyzing the data collection. Moreover, the researcher was conducted the semi structured questionnaire for the Key Informant Interview guide for tax auditors officials. The result reveled that complexity of tax system, probability of detection, tax rates, penalty, tax evasion, peer influence group and tax knowledge are factor that significantly affect determinates tax compliance behavior. However, gender& age and perception of the role of government have no significant impact on tax compliance behavior.