Perception and criminality of tax evasion in a developing economy
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Eugene Okoi Ifere 
, Okey Oyama Ovat , Emeka Josephat Owan, Mercy Ihuoma Chijioke, Lekam Ujong Ofem, Joseph Nsabe Ndome, Malachy Ashywel Ugbaka , Atelhe George Atelhe
This work is licensed under a Creative Commons Attribution 4.0 International License.
Abstract
This study examines the perceptions and extent to which tax evasion is classified as a criminal offense compared to fifteen listed offenses in the Niger Delta region of Nigeria. The motivation stems from the need to understand the reasons for higher levels of tax evasion and its perception as a lesser crime vis-à-vis others, despite its economic implications. It interrogates Menezes de Carvalho and Cabral de Ávila’s (2022) study which proved that tax governance practices and enforcement have serious consequences on the level of tax evasion. It employs a primary study using 409 questionnaires similar to Gupta (2009), and Mamuti and McGee (2016), which measured the perceptions toward tax evasion as a crime. Results revealed that murder/ritual killing, armed robbery, militancy, kidnapping, and human trafficking are among the top five crimes while tax evasion was rated third lowest crime. Also, corruption and ineffective tax governance, among others were identified as reasons for tax evasion. The implication is that tax evasion leads to dwindling government revenue and welfare. Consequently, the study recommended that to build confidence in tax authorities and systems, the government should step up social contracts with the people. Tax defaulter should be punished and the government should carry out periodic tax education.
Keywords: Tax Evasion, Perception, Criminality, Niger Delta
Authors’ individual contribution: Conceptualization — E.O.I.; Formal Analysis — E.J.O. and L.U.O.; Investigation — M.I.C. and J.N.N.; Resources — O.O.O. and A.G.A.; Writing — Original Draft — E.O.I.; Writing — Review & Editing — O.O.O. and M.A.U.
Declaration of conflicting interests: The Authors declare that there is no conflict of interest.
JEL Classification: H26
Received: 04.04.2023
Accepted: 27.07.2023
Published online: 10.10.2023
How to cite this paper: Ifere, E. O., Ovat, O. O., Owan, E. J., Chijioke, M. I., Ofem, L. U., Ndome, J. N., Ugbaka, M. A., & Atelhe, A. G. (2023). Perception and criminality of tax evasion in a developing economy [Special issue]. Corporate Law & Governance Review, 5(2), 164–173. https://doi.org/10.22495/clgrv5i2sip3
