Tax Management

1. A STUDY OF TAX MANAGEMENT
PRACTICES OF INDIVIDUAL
ASSESSEES IN ODISHA
Supervisor
DR. SANJEEB KUMAR DEY
Assistant Professor in Commerce
Department of Commerce
Ravenshaw University, Cuttack
Research Scholar
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Roll No: 16 DCO-008

2. INTRODUCTION
❖ Taxes are the government's primary source of revenue
and they are used to benefit the country's citizens.
❖ In India taxes are levied at three stages .i,e Central
government, State governments & Local authority
❖ In this context, it is important to study tax management
practices and activities by individuals with an objective
to acknowledge and extract cue that could help
Government to enhance its overall tax base in Odisha.
❖ In this study, selected cities of Odisha have been taken
to get insight into the important facets of tax
management practices.

3. OBJECTIVES OF STUDY
❖ To study the Income Tax Structure for individuals under
Income Tax Act, 1961.
❖ To assess the awareness level of individual assessee
about income tax provisions.
❖ To study tax management practices of individual
assessee.
❖ To analyze the perception of taxpayers with regard to tax
administration
❖ To examine the most preferred sources of awareness for
updation of tax provisions by individual taxpayers.

4. RESEARCH METHODOLOGY
Research Design : Descriptive and Analytical
Data Source :
Primary (Questionnaire) / Secondary( Journals and magazines,
books, published and unpublished thesis, government
publications, public websites)
Period of Study: Assessment Year 2020-21
Period of Data Collection: August, 2019 - December 2019
Area of Study : 9 Districts of Odisha
Sampling Method :
Using Stratified Random Sampling Techniques based on
Population
Sample Size : 1068 Respondents
Questionnaire Distributed : 1200
Sample Respondents:
Male and female / Different age groups / Different occupations
and educations by using Random Sampling Technique
Statistical Tools & Models:
Chi-square Test, One-way ANOVA, Logistic Regression,
Exploratory Factor Analysis, Structural Equation Modeling
(SEM)
Statistical Package : MS Excel 2007 & SPSS-AMOS-23

5. REVIEW OF LITERATURE
0
5
10
15
20
25
30
35
40
45
50
INTERNATIONAL NATIONAL
On the Basis of Nationality
Series1
35%
27%
11%
15%
12%
On the Basis of Focus Area
TAX STRUCTURE
TAX COMPLIANCE
TAX PLANNING
TAX AWARENESS
TAX ADMINISTRATION

6. ANALYSIS
Analysis Outcome
Demographic
Profile of the
Respondents
The data collected through primary sources from 1068 respondents
spread over eight highest educated cities of Odisha have been analyzed
subjected to percentage analysis to have a clear picture of demographic
profile of the selected respondents. A majority of the respondents are
post graduate employed male of the age group (30-40) with income of
(₹ 5 Lakhs – ₹ 7.50 Lakhs)
Analysis of the
Difficulties in
Tax Compliance
The researcher has made an attempt to identify the factors explaining
the difficulties with tax compliance as perceived by an individual
assessee. The sample respondents were asked to opine their views on
six statements related to difficulties with tax compliance on 5-point
likert scale. The data so collected were analyzed by using EFA in
relation to objective-4
Analysis of Tax
Administration
The researcher has made an attempt to identify the factors
explaining the tax administration as perceived by an individual
assessee. The sample respondents were asked to opine their
views on twelve statements related to tax administration on 5-
point likert scale. The data were analyzed by using EFA in
relation to objective-4

7. FINDINGS
Objective Findings
Analysis of Tax
Structure
(Objective-1)
Out of 1068 respondents, only 35.6% are fully aware of the tax structure,
30.1% are partially aware and 34.4% are not at all aware of the structure.
Analysis of Tax
Provisions
(Objective-2)
On application of One-way ANOVA to the awareness level of Tax
provisions, it is found that the awareness level differs with respect to age,
gender, occupation, education and income of the respondents.
Analysis of Tax
management
Practice
(Objective-3)
The analysis of tax management practices of the sample respondents is
carried out in the context of tax compliance determinants, tax compliance
aspects, tax planning schemes, factors affecting tax planning schemes and
the difficulties with tax compliance.
Tax compliance
determinants
❖ SEM resulted that the constructs “Economic factor”, “Institutional factor” and
“Social factor” significantly predict the tax compliance determinant.
❖ The constructs “Institutional factor and Social factor” are positively related.
❖ The weightage of “Institutional factor” and “economic factor” are comparatively
high than “Social factor”.
❖ The constructs “Economic factor & institutional factor” and “Economic factor &
social factor” are negatively related.

8. RECOMMENDATIONS AND SUGGESTIONS
❖The study resulted a moderate awareness level
of tax structure amongst the sample
respondents. Tax authorities should try to
educate more people in general so as to bring
them under tax net.
❖With various deductions in place under Income
Tax Act, taxpayers should gather more
knowledge so as to get acquaint themselves to
diversify their investment into mutual funds,
other Government schemes apart from
traditional investment products as evident from
the findings.

9. THANK YOU.