An Evaluation of Taxpayers’ Perception of Value Added Tax and Cost of Living in Nigeria

Johnson Adenike Oluwatobi, Cordelia Onyinyechi Omodero, Babatunde Moses Ololade, Gbenga Ekundayo and Festus Onosakponome Odhigu
Additional contact information
Johnson Adenike Oluwatobi: Department of Accounting, College of Management and Social Sciences, Covenant University Ota, Ogun State, Nigeria
Cordelia Onyinyechi Omodero: Department of Accounting, College of Management and Social Sciences, Covenant University Ota, Ogun State, Nigeria
Babatunde Moses Ololade: Department of Accounting, Faculty of Management Sciences, Redeemer’s University, Ede, Nigeria
Gbenga Ekundayo: Oman College of Management and Technology, Muscat, Oman
Festus Onosakponome Odhigu: Department of Management Studies, Middle East College, Oman

International Review of Management and Marketing, 2024, vol. 14, issue 5, 166-181

Abstract: This study evaluates taxpayers’ perception of value added tax (VAT) and cost of living in Nigeria. The main focus of this research is to evaluate the awareness and opinion of individuals, households and organizations regarding VAT, and to understand the relationship between perception and compliance with VAT regulations. Furthermore, the study examines how VAT affects cost of living and provision of social amenities funded by the revenue generated from this tax. Questionnaires were used to collect data and outcomes were analysed using mean of simple percentage and frequency count. Statistical Package for Social Sciences (SPSS 20.0) and the SEM-PLS (4) were used to evaluate the hypotheses. The analysis showed that there is significant relationship between the level of VAT awareness and provision of social amenities. The result showed that perception about VAT has a significant influence on provision of social amenities, level of VAT awareness significantly influences compliance with VAT regulations, perceptions about VAT significantly influences compliance with VAT regulations and lastly perception about VAT significantly influence cost of living. It is recommended that the government should enhance awareness about VAT and address diverse opinions on perception in order to increase compliance with VAT regulations leading to efficient provision of social amenities and an improved of cost of living. Implementing strategies that could inform more effective tax policies and compliance strategies is essential to support economic growth and development.

Keywords: Value Added Tax; Cost of Living; Taxpayers Perception; Compliance (search for similar items in EconPapers)
JEL-codes: D10 E60 H20 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.econjournals.com/index.php/irmm/article/download/16781/8201 (application/pdf)
https://www.econjournals.com/index.php/irmm/article/view/16781 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eco:journ3:2024-05-18

Access Statistics for this article

International Review of Management and Marketing is currently edited by Ilhan Ozturk

More articles in International Review of Management and Marketing from Econjournals
Bibliographic data for series maintained by Ilhan Ozturk ().