A Comparative Study of Compliant and Non- Compliant Individual Taxpayers in Australia

The tax compliance literature indicates that many factors, including, economic, social, psychological and demographic, impact upon the compliance behaviour of taxpayers. This research study investigated the relationship if any, that exists between major tax compliance variables and the attitudes and behaviour of both selected Australian individual taxpayers’ and tax evaders’ towards tax evasion. Research support from both the Australian Taxation Office and a market research company was engaged in carrying out the study. The study employed a mixed method approach drawing data from both a survey instrument and taxpayer interviews. The findings revealed that tax morals, tax fairness and to a lesser degree tax enforcement and tax awareness both directly and indirectly impacted upon Australian taxpayer compliance. It is envisaged that the results of this study provide useful information for revenue collecting authorities and have implications for tax policy development.