THE EFFECT OF APPLYING THE PRINCIPLES OF TAX GOVERNANCE IN INCREASING THE EFFICIENCY OF TAX ADMINISTRATION AND INCREASE TAX COMPLIANCE

Abstract

This study aims to examine the influence of tax governance principles on the effectiveness of tax administration and the rise of tax compliance. The study is founded

on tax governance, concerned with improving tax system performance, disclosure, and transparency. Applying tax governance principles improves tax administration efficacy and increases tax compliance. The study utilized a quantitative research methodology and questionnaires to collect data from tax experts and Iraqi General Tax Authority officials. Results indicated that tax governance principles such as the development of performance, disclosure, and transparency increase the confidence of those responsible for tax administration and enhance tax collection methods. In addition, the study found that tax administration efficiency substantially mediates between tax governance principles such as performance development, disclosure, and transparency and increases tax compliance. The implications of applying tax governance principles to increase tax administration efficiency, transparency, disclosure, tax compliance, and revenue are discussed. The study also includes recommendations for tax authorities to improve tax administration efficacy and increase transparency and disclosure.