Reengineering Tax Service Quality Using a Second Order Confirmatory Factor Analysis for Self-Employed Taxpayers

Abstract

Reengineering tax service quality using second order confirmatory factor analysis, namely, responsiveness, reliability, in formativeness, assurance and usability is viewed as an enabler of tax administration effectiveness in collecting government revenues. This paper examined the psychometric properties of tax service quality items for tax administration effectiveness on the self-employed taxpayers. A total of 181 received and usable data was collected and analyzed. The findings shows the goodness fit indices are adequate with the model fit indices showing the chi-square value of 215.334, DF =146, p-value = 0.000, normed chi-square CMINDF) =1.475, CFI =0.967 and RMSEA = 0.051. In other words, the findings show that the factors help the tax administrator for providing effective tax system.