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Tax Perception and Tax Evasion

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  • Rajat Deb
  • Sourav Chakraborty

Abstract

The study attempts to report the factors that are responsible for people’s perceptions about taxation, in general, and tax evasion, in particular. The study frames a model, based on which research hypotheses are derived. Adopting crosssectional research design, a survey was carried out on a sample of 125 respondents. A pre-test was also carried out to test the reliability and validity of the interview-schedule before the actual survey was executed. Factor analysis was applied for data reduction. Results of inferential statistics show the influence of selective demographics on tax perception and tax evasion, with other factors such as provisions for penalty and prosecution and rates of tax also influencing the taxpayers’ decisions. While acknowledging a few shortcomings, the relevance of the study in policy-making has been enumerated. In conclusion, a road map for further studies has been indicated.

Suggested Citation

  • Rajat Deb & Sourav Chakraborty, 2017. "Tax Perception and Tax Evasion," IIM Kozhikode Society & Management Review, , vol. 6(2), pages 174-185, July.
    • Handle: RePEc:sae:iimkoz:v:6:y:2017:i:2:p:174-185
    DOI: 10.1177/2277975217701363
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