ANALYSIS OF TAX MORALE AND TAX COMPLIANCE IN NIGERIA

This study attempts to analyse tax morale and tax compliance in Nigeria.  Taxation is one of the
most volatile subjects in governance both in the developing and developed nations. Tax refers to a compulsory contribution, imposed by government, and while taxpayers may receive nothing identifiable in return for their contribution, they nevertheless have the benefit of living   in  a relatively educated, healthy and safe society.  The advent of democratic rule in 1999 has put greater pressure on the three-tier of governments to generate enough revenue and meet
electoral promises in terms of provision of basic necessities and infrastructure for the economic
empowerment of the people.  To achieve these goals,  a high tax morale is required to achieve a
high degree of tax compliance.  The general objective of this study is to determine the effect of
Tax Morale on the taxpayer in compliance to tax policies of government in Nigeria. Cross-sectional survey was used with questionnaire as the major tool of data collection. Six organizations in the public, private, and informal sector form the sample size of this study
Questionnaire was administered to 600 randomly selected respondents. Multiple  regression
analysis was used to analyze the data. The result shows  that there are a number of significant
correlations between tax compliance and tax morale. The study recommended that: there is a
need to provide strong taxpayerâ€s services particularly during the tax filing stage, tax returns be
scrutinized under the supervision, or be jointly examined with a senior tax official so that the
discretionary powers being exercised by tax officials are not abused.
Keywords: Tax Compliance, Tax Morale, Tax Evasion, Social Norms, Traditional Institution.

Declaration ---------------------------------------------------------------- - ..----  ii
Certification ----------------------------------------------------------------------..  iii
Dedication ------------------------------------------------------------------.------.  iv
Acknowledgement --------------------------------------------..--------------.--..  v
Abstract--------------------------------------------------------------------------.--.  viii
Table of Content --------------------------------------------------------------..--.  ix
List of Tables ------------------------------------------------------------------.----  xii
CHAPTER ONE: INTRODUCTION
1.1  Background of the Study--------------------------------------------------  1
1.2  Statement of Research Problem----------------------------------------..   4
1.3  Objectives of the Study  ------------------------------------------------.--  5
1.4  Research Questions--------------------------------------------------------  6
1.5  Research Hypothesis--------------------------------------------------.----  6
1.6  Significance of the Study------------------------------------------ - ----  7
1.7  Scope and Limitation of the study----------------------------------------.  8
1.8  Summary of Research Methodology  -------------------------------- -   9
1.9  Sources of Data--------------------------------------------------------.----  10
1.10  Definitions of Terms--------------------------------------------------..----  10
CHAPTER TWO: LITERATURE REVIEW
2.1  Conceptual Framework of the Research--------------------.------------..  27
2.2  Theoretical Framework of the Research----------------------------------.  55
CHAPTER THREE: RESEARCH METHODOLOGY
3.1  Research Design------------------------------------------------------------  58
3.2  Population of Study--------------------------------------------.--------.----..--59
3.3  Sample Size and Sample Technique  --------------------------.--------------..--59
3.4  Data Gathering Method  ------------------------------------------.----..--.61
3.4.1  Sources of Data------------------------------------------.------.--  61
3.4.2  Instruments for Data Collection----------------------.--------------..----61
3.4.3  Description of Questionnaire----------------------------.--------..---- - 62
3.4.4  Validity and Reliability of Instrument--------------.------------------ - .62
3.4.5  Administration of Instruments------------------------------.------------.63
3.5  Data Analysis Method
3.5.1  Method of Data Analysis----------------------------------.------.----.--.64
3.5.1  Instrument for Data Analysis------------------.------..----------..64
CHAPTER FOUR:
DATA PRESENTATION AND ANALYSIS
3.6  Data Presentation----------------------------------------------.------..--  66
3.7  Data Analysis-Preliminary----------------------------.----------.------..  66
3.