FACTORS INFLUENCING TAX AUDIT PRACTICE ON REVENUE PROFILE IN OSUN STATE, NIGERIA

Abstract

Tax compliance and remittance have been relatively low in some western states of Nigeria, including Osun State. Understanding the factors influencing tax compliance and remittance and their impact on revenue generation is essential for improving revenue collection and enhancing state capacity for development. Therefore, this study examined the factors influencing tax audit practice on revenue profile in Osun State, Nigeria. Primary data were collected using questionnaire. The study population consists of the 224 chartered accountants requisite experience on tax audit in Osun state secretariat, Nigeria as at 2023 with a sample size of 193 chartered accountants using Taro Yamen formulae to determine the sample size. Random sampling technique was employed since all the respondent has equally chances to be selected   Analytical techniques involved both descriptive and inferential statistics. Descriptive statistics and Analysis of Variance (ANOVA) were used to examine the factors that influences tax audit practice Findings from the descriptive analysis on the factors that influences tax audit practice in Osun state, Nigeria showed that Regulatory Framework (66.32%), Tax Policies (63.37%), Compliance Culture (35.75%) and Political Environment ((68.91%) are the key factors that influences tax audit practice in Osun state.  The study concluded that there is significant variation in the determinant factors influencing tax audit practice in Osun state. It is therefore recommended that Osun State government should invest in regular training and capacity-building programsmme for tax auditors. This would ensure that auditors possess the technical skills, knowledge, and competency required to conduct comprehensive audits that can effectively boost revenue collection.