MJAMR

Relationship Between Adoption of Online Tax Systems and Financial Performance of Small-Scale Enterprises in Wakiso District, Uganda

Kabugho Zyane


Abstract

The study examined the relationship between adoption of online tax systems and financial performance of small-scale enterprises (SSEs) in Wakiso District, Uganda. A descriptive cross-sectional research design was adopted to assess how online tax systems including e-registration, e-filing, e-payment, and digital tax compliance affect financial performance. The target population comprised registered SSEs in Wakiso District, with a sample size of 371 respondents determined using Krejcie and Morgan’s (1970) sample size table. A total of 350 valid responses were obtained, representing a response rate of 94.3%. Descriptive statistics including means, standard deviations, frequencies, and percentages were generated to summarize respondents’ characteristics and key variables. Regression analysis further showed that adoption of online tax systems significantly predicts financial performance, with a regression coefficient of β = 0.690 (p = 0.000), indicating that a one-unit increase in adoption leads to a 0.690-unit improvement in financial performance. The coefficient of determination (R² = 0.546) suggests that 54.6% of the variation in financial performance is explained by adoption of online tax systems. The study concludes that effective adoption of online tax systems enhances profitability, efficiency, and financial stability of SSEs and recommends improving system usability, technical support, and taxpayer education.

Keywords

Online Tax Systems Financial Performance Small-Scale Enterprises E-Taxation Uganda
Metropolitan Journal of Academic Multidisciplinary Research

Cite This Article

Kabugho Zyane (2026). Relationship Between Adoption of Online Tax Systems and Financial Performance of Small-Scale Enterprises in Wakiso District, Uganda. Metropolitan Journal of Academic Multidisciplinary Research, 5(1). https://journals.miu.ac.ug/pages/article.php?article_id=584

More in This Issue

View full issue →
11
Relationship Between Control Environment And Financial Performance Of Private Organizations In Kagadi Town Council, Kagadi District
Muhumuza Amosi, Bakundana Martin (PhD)2
Control environment financial performance internal controls private organizations
12
Relationship Between Customer Analysis And The Performance Of Agro-Businesses In Selected Sub- Counties Of Bushenyi District.
Mugisa Joshua
Customer analysis agro-business performance customer needs assessment Bushenyi District
13
Relationship Between E-Funds Transfer And Customer Satisfaction Of Centenary Bank Entebbe Branch.
Mwambazi Joshua, Irumba Alex
E-funds transfer customer satisfaction electronic banking digital financial services
14
Relationship between Number of Pick up and Drop off Stops towards Academic Performance of Learners in primary schools within Nansana division, Wakiso District, Uganda.
Sekitto Muhammad Kawooya, Dr. Namulondo Veronica
School transport pick-up stops drop-off points academic performance
15
Relationship Between Procurement Efficiency And Customer Acquisition By Organizations In Nansana Municipality.
Nabangi Emmanuel, Otim John William
Procurement efficiency customer acquisition supply chain management organizational