PERCEIVED EFFECT OF E-COMMERCE TAX AWARENESS AND TECHNOLOGY OPTIMISM ON TAX COMPLIANCE INTENTION

Abstract

Despite the high volume of e-commerce transactions and massive virtual tax revenue generation from different e-commerce trading platforms worldwide, the tax compliance intention remains low, coupled with the complexity of its legal tax provisions, tax awareness and technology optimism. Several administrative efforts and frameworks were recently put in place to address the lingering issues, yet information about e-commerce tax awareness and technology optimism remains the least from most formal and informal sectors' users and operators in developing countries like Nigeria. As such, the study examines the perceived effect of e-commerce tax awareness and technology optimism on tax compliance intention. Specifically, the study examines the influence of university students' e-commerce tax awareness and technology optimism on tax compliance intention. A cross-sectional survey design was used for the study. A questionnaire was self-administered to 372 samples, and 323 valid responses were obtained from undergraduate students with practical e-commerce technology experience. Subsequently, Partial Least Squares Structural Equation Model was used to test the proposed research model using SmartPLS4. The study found that e-commerce tax awareness and technology optimism positively and significantly correlated with tax compliance intention, among e-commerce platform users in universities. The practical and theoretical importance of understanding the implications of the study was finally highlighted.