Infrastructural Development and Tax Compliance of Small and Medium Enterprises Owners in Lagos State, Nigeria

  • Obafemi Rufus Oyewumi University of Lagos
  • Olatunde Julius Otusanya University of Lagos
  • Gbadegesin Babatunde Adeyeye University of Lagos
Keywords: Infrastructural development, Tax compliance, Small and Medium Scale Enterprise

Abstract

Tax compliance has been a front-burner issue in Nigeria because of the dwindling income accruing into the government coffers resulting from loss of oil revenue. Several studies had been carried out on factors affecting tax compliance and to extend literature, this study examined the SME owners' perception of infrastructural development and tax compliance in Lagos State, Nigeria. By means of survey research design, the study made use of primary data gathered through a well-structured Likert linear scale questionnaire. From a population of 11,663, a sample size of 400 hundred was used, which resulted in the distribution of 400 copies of the valid questionnaire. 364 copies of questionnaire were returned out of which a total of 342 copies were found to be useful. One hypothesis was formulated for the study and tested using Pearson correlation and multiple regression tools. The result of the study indicated that infrastructural development has a significant and positive influence on tax compliance of small and medium enterprise owners. The study recommends that the government should intensify efforts at developing the level of infrastructure in the State. Also, project execution should be tailor-made and specifically carried out to meet the needs of the people which would help taxpayers derive satisfaction from paid taxes.

Author Biographies

Obafemi Rufus Oyewumi , University of Lagos

Lecturer, Department of Accounting, Faculty of Management Sciences.

Olatunde Julius Otusanya, University of Lagos

Associate Professor, Department of Accounting, Faculty of Management Sciences.

Gbadegesin Babatunde Adeyeye, University of Lagos

Senior Lecturer, Department of Accounting, Faculty of Management Sciences.

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Published
2020-05-12
How to Cite
Oyewumi , O. R., Otusanya, O. J., & Adeyeye, G. B. (2020). Infrastructural Development and Tax Compliance of Small and Medium Enterprises Owners in Lagos State, Nigeria. Global Journal of Accounting, 6(1), 12-23. Retrieved from http://ujp.unilag.edu.ng/index.php/gja/article/view/860
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Articles