Modelling tax consciousness evaluation in the context of economic development uncertainty

Abstract

The aim of this study is to compare a finite set of subjects of taxation by means of evaluating their relative importance by tax consciousness levels using a scale in T. Saaty’s analytic hierarchy process.  As a result, the highest value is obtained for large taxpayers, followed by the government, then controlling bodies, and the lowest value is obtained for small taxpayers. The values of the cognitive component for all subjects of taxation are high due to the high accessibility of education, lifelong learning, and development of advisory functions of controlling bodies. Middle-high values of emotional and volitional component are determined by the subjective nature of managerial decision-making and the degree of trust in government and taxation system. Low values of the behavioral component are determined by the subject’s socio-economic role which affects the availability of tax behavior alternatives and their risks in a certain area of activity. It has been proved that there are no standard values for the structural elements and tax consciousness as a whole as they simultaneously represent the cause and effect of imbalances in the functioning and development of the socio-economic system of the country.