Exploring the influence of personality traits and tax morale on tax evasion intentions

Abstract

Tax compliance is a critical aspect of revenue generation for governments worldwide, yet achieving high levels of compliance remains a challenge. This study investigates the influence of personality traits on tax morale and its subsequent impact on tax evasion intention. Analyzing data from 407 students using SPSS and SmartPLS 3, the study explores specific personality traits' relationships with tax morale and tax evasion intention. Results indicate that agreeableness and conscientiousness positively correlate with tax morale, suggesting that individuals high in these traits are more likely to fulfill their tax obligations. Furthermore, a negative relationship between tax morale and tax evasion intention is observed, implying that individuals with stronger tax morale exhibit lower intentions to engage in tax evasion. These findings contribute valuable insights to understanding tax compliance behavior and offer practical implications for policymakers aiming to enhance tax morale and mitigate tax evasion. By addressing the psychological factors underlying tax compliance, policymakers can develop targeted strategies to foster sustainable revenue mobilization and economic growth.