Issue Details

A STUDY ON MONETARY COMPLIANCE COST ISSUE & GST COMPLIANCE BEHAVIOR

ABSTRACT

"A mandatory tax is a charge levied by the government on assets, people, or transactions in order to raise funds for public uses" (Olaoye, 2009). According to Daude et al. (2012), taxation is a charge that the taxing authority imposes on taxpayers on a regular or recurring basis rather than being a one-time payment. In contrast, the government offers indirect advantages to all members of the economy in the form of high-quality infrastructure and development facilities rather than any comparable benefits to the taxpayer in exchange for tax payments (Webley, 2004). There are essentially two sorts of taxes: indirect taxes and direct taxes. Direct taxes, such as income tax, capital gain tax, wealth tax, or property tax, are levied incidentally on a single individual and paid by that same person who is really legally obligated to pay them (Aamir et al., 2011). On the other hand, indirect taxes, such as custom duties, VAT, sales taxes, excise duties, import duties, GST, services taxes, octroi, or purchasing taxes, are levied incidentally on one person but are paid by a different person (Aamir et al., 2011). Stated differently, one cannot transfer the tax burden of direct taxes to another party; on the other hand, one can transfer the tax burden of indirect taxes to another party.

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