Level of Awareness of Income Taxation among Entrepreneurs

Cliff Kirl  F. Lubon,; Carl Mark  Labasan,; Chloe  Cataluña,; Ismael  Musa,; Jhonalyn  Maraon,; Juliet  Libre,; Mark Hardy  Bankas,; Shahara  Balating,

Level of Awareness of Income Taxation among Entrepreneurs

Discipline: others in business and management

Abstract:

Business and entrepreneurs must have a thorough understanding of taxes to maintain compliance. Therefore, this research examines the level of awareness among entrepreneurs regarding income taxation. A survey of 30 entrepreneurs from registered MSMEs in General Santos City was conducted to assess their understanding of tax rights, responsibilities, and compliance. The respondents had been in business for at least 5 to 30 years. The collected data were analyzed using statistical methods, including frequency, percentage, weighted average mean, and ANOVA. The results showed that the level of awareness on income taxation has an overall mean of 4.28 shows a moderately aware, which indicates that the entrepreneurs are knowledgeable. This implies that they are familiar with basic tax concepts, but there may still be room for further learning. Age and educational attainment play a significant role in how they understand their tax rights and responsibilities and their tax compliance. However, the years in the business of entrepreneurs do not have a significant difference in awareness level on income taxation. This study concludes that although entrepreneurs may be knowledgeable about their rights and responsibilities and are compliant, there are certain areas that need improvement. This study emphasizes the importance of continuous learning and activities for entrepreneurs to maintain tax compliance.

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