Tax Policy, SMES Compliance, Perception and Growth Relationship in Ghana: An Empirical Analysis

Tax plays a significant role in the growth of Small and Medium Enterprises (SME S). In a developing country like Ghana, SME S play important roles in the development of the economy. It is vital for policy makers to consider the alignment of tax policies to the growth needs of SME S. Government uses taxation and tax regimes to provide means for SMES to contribute their quota to the economic growth of Ghana. Placing emphasis on this issue, the paper critically analyses tax policy, SME S compliance, perception and growth relationship in Ghana. The specific objectives of this paper are: To find out if SME S comply with their tax obligations and policies; To examine SME S perception on tax policies; and To identify the effects of tax policies on SME S growth in Ghana. The research was primarily carried out at the Accra Metropolitan Assembly and it covers four markets of Kantamanto market, Makola market, Malata market and Dome Market. Respondents from these markets were