Testing the Theory of Planned Behavior in the Field of Tax Compliance Among Students From Vocational Business Colleges

To gain deeper understanding on how tax compliance decisions are made, it is important to study potential influence factors like knowledge, attitudes and social norms. A theory to explain the relationship between attitudes and behavior is the theory of planned behavior. In this study, this theory is tested in the field of tax compliance among vocational business students. 688 vocational business students aged between 16 and 22 took part in a questionnaire study. The emphasis was on voluntary compliance, tax avoidance and tax evasion and factors influencing the behavioral intentions. A regression analysis was conducted to test the theory. The analysis shows that attitudes and subjective norms have high explanatory power for tax compliance intentions in all three subject areas. Perceived behavioral control is only relevant for the category of tax avoidance. Overall findings suggest that the theory of planned behavior as well as the theory of reasoned action are suitable to explain behavioral intentions in the field of tax compliance among vocational students. In vocational business colleges education should focus on promoting positive attitudes towards taxes and knowledge of the importance of taxes rather than only focusing on developing competences in the field of tax avoidance.