Proceedings of the 1st International Conference on Applied Social Sciences, Business, and Humanity, ICo-ASCNITY, 2 November 2019, Padang, West Sumatra, Indonesia

Research Article

Introducing Formal Tax Education in Secondary School: A Survey on Malaysian Public’s Perception

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  • @INPROCEEDINGS{10.4108/eai.1-11-2019.2293991,
        author={Rani Diana Othman and Zubaidah  Ismail and Nurul Hidayah Ahamad Nawawi},
        title={Introducing Formal Tax Education in Secondary School: A Survey on Malaysian Public’s Perception},
        proceedings={Proceedings of the 1st International Conference on Applied Social Sciences, Business, and Humanity, ICo-ASCNITY, 2 November 2019, Padang, West Sumatra, Indonesia},
        publisher={EAI},
        proceedings_a={ICO-ASCNITY},
        year={2020},
        month={4},
        keywords={tax compliance tax education secondary school curriculum inland revenue board of malaysia},
        doi={10.4108/eai.1-11-2019.2293991}
    }
    
  • Rani Diana Othman
    Zubaidah Ismail
    Nurul Hidayah Ahamad Nawawi
    Year: 2020
    Introducing Formal Tax Education in Secondary School: A Survey on Malaysian Public’s Perception
    ICO-ASCNITY
    EAI
    DOI: 10.4108/eai.1-11-2019.2293991
Rani Diana Othman1,*, Zubaidah Ismail2, Nurul Hidayah Ahamad Nawawi1
  • 1: Universiti Teknologi MARA, Melaka, Malaysia
  • 2: Edith Cowan University, Western Australia
*Contact email: diana067@uitm.edu.my

Abstract

Taxpayers’ compliance level of a country reflects its citizens’ knowledge about taxation system and, their connection and trust towards the government. However, low compliance level of individuals’ and companies has raised the question of the adequacy and effectiveness of citizen tax knowledge in Malaysia and whether tax education is warranted. This study is an overview on the Malaysian public’s perception towards introducing formal tax education in secondary schools. First, it looks at current taxpayer’s tax learning experience and their opinion on whether a formal approach in teaching taxation should be introduced. Second, this study also evaluates their opinion, on hindsight, if early tax education would have benefited them when they became liable to tax. Third, the public’s perception on the importance of taxation as compared to other related financial literacy knowledge is also evaluated. Findings shows that more than 90% of respondents agreed that early and formal tax education will provide them and future taxpayers with better understanding of the taxation system and their responsibility towards taxes. It is recommended that the Ministry of Education, the Inland Revenue Board of Malaysia (IRBM) and other related tax agencies should work together towards formally establishing tax education curriculum in secondary school in order to enhance future taxpayers’ consciousness towards taxes.