PREDICTIVE STRUCTURAL MODEL OF TAX PAYMENT AND FISCAL OBLIGATION COMPLIANCE

Abstract

This study develops and evaluates a predictive structural equation model of tax payment and fiscal obligation compliance by integrating economic, cognitive, institutional, technological, behavioral, administrative, and regulatory determinants. The model incorporates Economic Capacity, Fiscal Knowledge, Tax Complexity, Digital Tax Services, Institutional Trust, Perceived Fiscal Enforcement, Perceived Sanctions, Tax Morale, Compliance Costs, and Fiscal History as exogenous constructs, while Tax and Fiscal Obligation Compliance represents the endogenous construct. Economic Capacity reflects financial resources available for fulfilling obligations, whereas Fiscal Knowledge captures understanding of requirements, deadlines, procedures, deductions, and sanctions. Tax Complexity and Compliance Costs represent administrative barriers that can constrain fulfillment. Digital Tax Services capture accessibility, usability, electronic filing, electronic payment, and procedural integration. Institutional Trust represents confidence in transparency, fairness, competence, and legitimacy. Perceived Fiscal Enforcement and Perceived Sanctions represent external deterrence mechanisms, while Tax Morale captures internalized willingness and responsibility toward fiscal fulfillment. Fiscal History incorporates previous payment, filing, delay, omission, and sanction patterns. Tax and Fiscal Obligation Compliance encompasses timely payment, complete payment, timely filing, periodic fulfillment, information submission, and absence of recurrent omissions. The adjusted structural model indicates that Tax Morale, Institutional Trust, Digital Tax Services, Economic Capacity, Fiscal History, and Fiscal Knowledge positively contribute to compliance, while Tax Complexity and Compliance Costs negatively affect it. Perceived Fiscal Enforcement and Perceived Sanctions exert positive but comparatively smaller effects. The model explains a substantial proportion of variance in compliance and provides an integrated framework for identifying the relative contribution of motivational, institutional, technological, economic, administrative, and behavioral mechanisms underlying fiscal fulfillment.