Abstract (Rephrased)
This study focused on small and medium enterprises (SMEs) in Lira Municipality and aimed to examine the relationship between the tax administration system—specifically tax education, tax registration, and tax assessment—and tax compliance, which includes tax filing, reporting, and payment. Using both quantitative and qualitative methods, data were collected from a sample of 173 SMEs located in the Central Division of Lira Municipality.
The findings indicated that tax education has a significant relationship with tax filing and tax reporting, but not with tax payment. Additionally, proper identification and registration of legal taxpayers were found to have a strong positive and statistically significant relationship with all aspects of tax compliance at a 99% confidence level.
Furthermore, elements of tax assessment—such as proper record keeping, the competence of Uganda Revenue Authority (URA) personnel, taxpayer information requirements, and the methods used in tax assessment—were all positively associated with tax compliance. The study also established that the cost of compliance significantly influences tax compliance behavior.
Based on these findings, it is recommended that policymakers, the Uganda Revenue Authority, business managers, and taxpayers improve tax education strategies, enhance taxpayer registration processes, adopt effective assessment methods, and reduce compliance costs to encourage voluntary compliance in tax filing, reporting, and payment.
Chapter One: Introduction (Rephrased)
This chapter presents the background of the study, the problem statement, research objectives, hypotheses, scope, justification, key definitions, and the conceptual framework guiding the study.
Background to the Study (Rephrased – start)
Taxation is generally viewed as a mandatory obligation that every citizen is expected to fulfill in support of government operations and national development.
