Factors Influencing Tax Evasion among Small and Medium Enterprises in Zimbabwe | Chapter 6 | New Advances in Business, Management and Economics Vol. 5

This paper aims to establish the major determinants of tax non-compliance among SMEs in the Zimbabwean economy. Small and medium-scale enterprises (SMEs) are recognized globally for being the backbone of the economy through economic advancement, innovation, wealth generation, and further growth. SMEs have a high tax non-compliance rate, which hinders the development brought to many economies.

 

The survey research design was used, and the SMEs operating in Bulawayo province were considered the sample of the study. The stratified random sampling technique was adopted for eliciting information, and questionnaires were administered to collect data from the respondents. 187 questionnaires were issued, and 153 were returned. Regression analysis was used to establish the relationship between tax non-compliance and the predictive variables using SPSS version 22. Three main models of tax compliance were reviewed in the literature, and strong evidence of tax compliance determinants was provided.

 

The study revealed poor follow-up strategy, lack of a tax audit, high tax rates, financial constraints, abuse of public funds by authorities, and tax education as the major determinants. SME operators should apply modern business survival strategies to counter financial limitations. ZIMRA should maintain a database for SMEs for tax audit purposes, intensify follow-up strategies, increase tax audits, and increase tax support services for SMEs. The government should consider reducing tax rates, which are perceived to be too high, as they promote tax evasion and failure among SMEs. Massive campaigns against evasion and avoidance of tax and intensive tax education should be embarked on

 

Author (s) Details

 

Banele Dlamini
Department of Accounting and Finance, Lupane State University, Zimbabwe.

 

Please see the book here:- https://doi.org/10.9734/bpi/nabme/v5/7805

Determination of Tax Optimization as an Effect of Intelligent Legal Tax Solutions | Chapter 3 | Modern Perspectives in Economics, Business and Management Vol. 8

In this age of globalisation and digitalization, the alternatives for conducting business and taxing returns in the most efficient manner appear to be more flexible and straightforward than in previous years. Furthermore, in many areas, national countries' tax regimes differ significantly. On the one hand, this characteristic makes it difficult to do business in many nations; on the other hand, differences and discrepancies in taxation allow for the selection of convenient tax solutions. As a result, businesses benefit from an optimal global tax environment that offers the finest balance of economic and legal regulation for developing tax-saving measures. The study's goal is to examine tax solutions on techniques that have allowed multinational firms to reduce their tax payments while also demonstrating the distinction between legal and unlawful tax avoidance strategies.

Author (S) Details

Jolanta Galuszka
University of Economic in Katowice, Poland.

View Book :- https://stm.bookpi.org/MPEBM-V8/article/view/3647

Establishing the Link between Money Laundering and Tax Evasion: Critical Study | Chapter 10 | Current Strategies in Economics and Management Vol. 3

No clear link has yet been made between tax evasion and money laundering although many (or all) of the professionals in this field may have already assumed the relation. The aim of the research that was conducted for the purposes of this article was to explore whether there is a clear link between tax evasion and money laundering. This was done by studying the relevant literature available on both subjects. The findings, that there is a clear link between these two offences, were confirmed not only by analyzing definitions but also and most importantly, by an overview of court cases and the judgments made in these court cases. In theory, the results have proven that one cannot look at money laundering without considering tax evasion as well but tax evasion does not necessarily constitute the act of money laundering. This is of value to the individuals and organizations working in the field of taxation and organized crime, because when prosecuting a perpetrator on a count of money laundering, by adding the charge of tax evasion to his or her charge sheet, it can strengthen the case against the accused. 


Author(s) Details 

Dr. Ansia Storm
Northwest University, Potchefstroom, South Africa.

View Book :- http://bp.bookpi.org/index.php/bpi/catalog/book/191