Tax Digitalisation and Revenue Tax Compliance: The Empirical Approach

This paper investigated the effect of tax digitalisation dimensions on revenue tax compliance of Federal Inland Revenue Service (FIRS), Abuja, Nigeria. A cross-sectional survey research design was implemented in retrieving data from 603 employees of the Federal Inland Revenue Service in Abuja, Nigeria. The simple random sampling technique was applied. Also, reliability and validated tests were conducted on the adapted questionnaire before using it for the study. The multiple regression analysis results revealed that tax digitalisation dimensions had a positive and significant effect on revenue 2 tax compliance (Adj. R = 0.733, (F (4, 598) = 415.220, p<0.05) with electronic reporting as the best predictor on revenue tax compliance. Management of FIRS should encourage submitting tax returns online, accept payment online, and ensure electronic reporting sharing of up-to- date information to improve revenue tax compliance.