THE INTERMEDIARIES IN THE RELATIONSHIP BETWEEN INFORMATION TECHNOLOGY AND TAX COMPLIANCE: POWER AND TRUST

• Published in: Journal of Lifestyle and SDG'S Review
• Main Author: Li Y.; Paino H.; Zin N.M.
• Format: Article
• Language: English
• Published: Editora Alumni In 2024
• Online Access: https://www.scopus.com/inward/record.uri?eid=2-s2.0-85209903354&doi=10.47172%2f2965-730X.SDGsReview.v4.n04.pe02289&partnerID=40&md5=01ca1121f176f7fd0e4d27418b51b86a

Aim: This study utilizes the Slippery Slope Framework (SSF) to examine the impact of information technology (IT) on tax compliance among SMEs in Henan Province, China. Method: Using PLS-SEM, we analyzed survey data from SME taxpayers. Findings: The findings indicate that the widespread application of IT significantly promotes tax compliance through both direct and indirect effects. However, the influence of tax authorities' power on tax compliance is weaker than the influence of taxpayers' trust in tax authorities. Therefore, tax authorities should continue leveraging IT and place greater emphasis on building trust, improving services, and reducing compliance costs to enhance the relationship between tax authorities and taxpayers, ultimately improving tax compliance. Conclusions: This study addresses the gap in previous research by integrating IT as a comprehensive evaluation metric, correcting the overemphasis on technology and the lack of theoretical connection. However, it does not consider the potential risks of IT and the differences in IT application effects across regions. © 2024, Editora Alumni In. All rights reserved.