The Role of Digital Transformation in Reducing Tax Avoidance in Light of Political Matters “A Field Study”
DOI:
https://doi.org/10.56830/WRBA11202302Keywords:
Digital transformation, Political connections, Tax avoidanceAbstract
The main objective of this research is to study the role of digital transformation in reducing tax avoidance, in light of political links and ensuring a more transparent tax environment, ultimately leading to an increase in tax revenue to achieve Egypt’s Vision 2030. The research was based on a field study, and data was collected through survey questionnaires. The research sample consisted of (100) individuals employed by the Egyptian Tax Authority.
The researchers concluded that digital transformation provides the necessary electronic models and documents in all electronic tax accounting procedures, and also provides an intelligent electronic system that matches taxpayers’ declarations with e-invoices, thereby facilitating the detection of the largest possible number of tax avoidance cases, especially abusive tax avoidance, which is similar to tax avoidance. The results indicate a significant relationship between digital transformation and tax avoidance in the context of political links. The researchers also explained that it is necessary to take advantage of digital transformation through electronic tax accounting procedures to reform and improve the Egyptian
tax system, reduce tax avoidance, and benefit from the positive aspects of political links, increase tax revenue for the state, and build an integrated and effective tax system.
References
Ajili, H., & Khlif, H. (2020). "Political connections, joint audit and tax avoidance:
evidence from Islamic banking industry". Journal of Financial Crime, Vol.
27, No. (1), 155-.171
Alfandia, N. S., & Putri, P. A. (2023). "Audit committees, political connections, and audit quality on tax avoidance". Journal of Management Science
(JMAS), Vol. 6, No (2), 211-.612
Alsmady, A. A. (2023). "Accounting Information Quality, Tax Avoidance and Companies' Performance: the Moderate Role of Political Connection".
International Journal of Professional Business Review, Vol. 8, No. (1), 1-
.24
Annette, A., Niels, J., Ségal, L., & Gabriel, Z. (2022). "Tax evasion and tax avoidance". Journal of Public Economics, Vol. 206, 1- 17.
Chakroun, R., & Khemir, A. (2022). "The effect of political connection on tax evasion: Post-revolutionary evidence from Tunisian firms". Asian Journal of Empirical Research, Vol. 10, No. (4), 111-126.
Firmansyah, A., Arham, A., Qadri, R. A., Wibowo, P., Irawan, F., Kustiani, N. A., et al. (2022). "Political connections, investment opportunity sets, tax avoidance: does corporate social responsibility disclosure in Indonesia have a role?". Heliyon, Vol.8, No. (8), 1-13.
Indarto, B. A., & Widarjo, W. (2021). "Political Connections and Tax Avoidance in Indonesia". European Journal of Business and Management Research, Vol. 6, No. (5), 276-282.
Kamil, I. (2022). "Influence Artificial Intelligence Technology For E-filling and Digital Service Tax (DST) in Tax Administration on Tax Compliance". International Journal of Management Studies and Social Science Research, Vol. 4, No. (1), 144-156.
Karami, R., Vaez, S. A., & Rekabdar, G. (2022). "The impact of effective corporate governance on the relationship between tax gap and future profit changes in iranian economy". Advances in mathematical finance and applications, Vol. 7, No. (2), 345-359.
Kitsios, F., Kamariotou, M., & Mavromatis, A. (2023). "Drivers and Outcomes of Digital Transformation: The Case of Public Sector Services". Information, Vol. 14, No. (1) , 1-14.
McClure, C. (2019). "Tax Avoidance and the Real Effect of Tax-Risk Disclosures". Chicago Booth Research Paper, 14-.91
Mijwil, M., Filali, Y., Aljanabi, M., Bounabi, M., & Al-Shahwani, H. (2023). "The
Purpose of Cybersecurity Governance in the Digital Transformation of Public Services and Protecting the Digital Environment". Mesopotamian journal of cybersecurity,, 1-.6
Nazarov, M. A., Mikhaleva, O. L., & Chernousova, K. S. (2020). "Digital transformation of tax administration. In Digital Age: Chances". Springer International Publishing, Challenges and Future, Vol. 7, 3035-.1503
Nurhayati, N., Muda, I., & Kusuma, S. A. (2023). "Building Block in Digital Tax Administration: Literature Review". International Journal of Social Service and Research, Vol. 3, No. (2), 566-576.
Okunogbe, O., & Pouliquen, V. (2022). "Technology, taxation, and corruption:
evidence from the introduction of electronic tax filing". American Economic Journal: Economic Policy, Vol. 14, No. (1), 341-372.
Rathi, A., Sharma, S., Lodha, G., & Srivastava, M. (2021). "A study on application of artificial intelligence and machine learning in indian taxation system". Psychology and Education Journal, Vol. 58, No. (2), 1226-1233.
Rustiarini, N. W., & Sudiartana, I. M. (2021). "Board political connection and tax avoidance: Ownership structure as a moderating variable". Journal Dinamika Akuntansi Dan Bisnis, Vol. 8, No. (2), 128-144.
Sari, N. N., Rustiarini, N. W., & Dewi, N. P. (2022). "Corporate Governance, Political Connections, and Earnings Management". AFEBI Accounting Review, Vol. 6, No. (2), 78-87.
Su, L. (2023). "Tax Administration Digitization and Corporate Tax Avoidance: A Quasi-Natural Experiment Based on the Golden Tax III Project in China". Research square, 1-39.
Sulistyaningrum, A. G., Apandi, R. N., & Sofia, A. (2021). "The Whistleblowing System, Literacy of Big Data Analytics, and Tax Avoidance: Experimental Study". . Nusantara Science and Technology Proceedings, 27-39.
Tawiah, V., Zakari, A., & Wang, Y. (2021). "Partisan political connections, ethnic tribalism, and firm performance". Review of Quantitative Finance and Accounting, Vol. 58, No. (4), 1331-.2631
Thomas, G., & Aryusmar, N. (2020). "The Effect of Effective Tax Rates, Leverage, Litigation Costs, Company Size, Institutional Ownership, Public Ownership anf the Effectiveness of Audit Commitees in Accounting Conservatism at Public Companies LQ45". Journal of Talent Development and Excellence , Vol. 12, No. (1), 85-.19
Tijjani, B., & Peter, Z. (2020). "Ownership structure and tax planning of listed firms: Evidence from Nigeria". Journal of Accounting and Taxation, Vol.
12, No. (3), 99-.701
Wang, F., Xu, S., Sun, J., & Cullinan, C. P. (2020). "Corporate tax avoidance: A
literature review and research agenda". Journal of Economic Surveys, Vol.
34, No. (4), 793-.118
Widarjo, W., Sudaryono, E. A., Sutopo, B., Syafiqurrahman, M., & Juliati, J.
(2021). "The Moderating Role of Corporate Governance on the Relationship between Political Connections and Tax Avoidance". Jurnal Dinamika Akuntansi, Vol. 13, No. (1), 62-71.
Xie, K., & Huang, W. (2023). "The Impact of Digital Transformation on Corporate Tax Avoidance: Evidence from China". Discrete Dynamics in Nature and Society, 1-13.
Yayman, D. (2021). "Blockchain in taxation". Journal of Accounting and Finance, Vol. 21, No. (4), 140-155.
السيد مد محمود فودة) .2022(. " ر الملكية المؤسسية على العلاقة بين الروابط السييسية للنر ير
وم يور اتهيير سعير ااسها في وء تكيلي الو يلةَّ دراسة التبيرية ."المجلة العلمية للبحوث التجيرية، بيمعة المنوفية, المجلد السيبا وااربعين، العدد الرابا، 1-95.
دلال محمد إبراهيا) .2021(. "التأ ير المنترت للتعثر الميلي والتجنب الضريبي علي ل من القيمة السوقية وعوائد ااسها دراسة التبيرية علي النر ير دولية الننيو المسجلة في البورلة المصرية ."
المجلة العلمية للدراسير والبحوث الميلية والتجيرية، لية التجيرة بيمعة دمييو، المجلد الثيتي ،العدد الثيتى، 744- 792.
فوزي عبد البيقي فوزي مرق) . 2022(. " ر الت ص القطيعي و جا مكتب المرابعة على مستوى
التجنب الضريبي للنر ير المقيدة بيلبورلة المصرية ."المجلة العلمية للدراسير المحيسبية ,المجلد الرابا، العدد ااول، 276 – 362.
مبروت محمد السيد تصير) .2021(. "تمووث مقترا لتع ي دور التحول الرقمي في التحيسب الضريبي
الإلكتروتي بهدف تعظيا موارد الحصيلة الضريبية". المؤتمر العلمي الدولي الثيتي بعنوا التحول الرقمي و ره علي التنمية المستدامة، بيمعة مصر للعلو والتكنولوبيي، الص حير 1-23.
محمود محمد الدمرداش) .2020(. "مكيفحة التجنب الضريبي اتنطة الاقتصيد الرقمي في النظي
الضريبي المصري والسعودي بيلترکي على قيتوتي ريبة الدلل والقيمة المضيفة ."مجلة الدراسير القيتوتية والاقتصيدية, المجلد السيدس، العدد الثيتي، 1-141.
