An Exploration of the Barriers of E-Tax System Adoption as a Strategy for Enhancing Taxpayer Compliance among Small and Medium Taxpayers at the Zambia Revenue Authority

The adoption of digital tax systems is increasingly becoming a global trend, aimed at improving tax compliance, efficiency, and revenue collection. However, in Zambia, the transition to e-tax filing among small and medium taxpayers has been slow, with several factors hindering its effective adoption. This study investigated the key barriers to e-tax adoption and examined the role of attitude, subjective norms, perceived behavioural control, and intention in influencing taxpayers’ actual use of the system. Using the Theory of Planned Behaviour as a guiding framework, the study seeks to understand the extent to which these psychological and structural factors impact e-tax adoption and identify potential interventions to enhance digital tax compliance. The study employed a quantitative research design, using a structured survey to collect data from 399 small and medium taxpayers in Zambia. The data was analysed using descriptive statistics, correlation analysis, and multiple regression modelling using SPSS to determine the relationship between taxpayers’ behavioural factors and their actual e-tax adoption. The findings revealed that attitude is the strongest predictor of e-tax adoption, with a moderate positive correlation (r = 0.475) with intention. Subjective norms had a weaker effect (r = 0.241), suggesting that social pressure alone does not significantly influence adoption. Perceived behavioural control did not significantly predict actual use (β = 0.072, p = 0.239), indicating that confidence in using e-tax does not necessarily translate into usage. The regression analysis showed that only 13.9% (R2 = 0.139) of the variation in actual e-tax adoption was explained by the model, implying that external barriers such as internet accessibility, technical failures, and enforcement policies play a much larger role in influencing compliance. The findings suggested that improving system reliability, expanding taxpayer training, enhancing internet accessibility, and introducing financial incentives would significantly increase e-tax adoption. Future research should explore trust in digital taxation, the role of mobile tax solutions, and the impact of government enforcement mechanisms on tax compliance.