The Effects of Revenue Management on Taxpayers’ Satisfaction: Evidence from Laga-TafoLaga-Dadhi Town Administration Category “C” Taxpayers,Oromia National Regional State

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Tax is the major source of public revenues, and government needs financial resources to play a role that is expected from it by the public. The major objective of this study is to examine the effect of revenue management on taxpayers’ satisfaction using the case of Laga-tafoLagadadhi town Revenue authority and its taxpayers. The main rationale for undertaking this study is to bridge the research gap that most of the previous works did not address the causal relationships existing between revenue management and customers’ satisfaction that belongs to category ‘C’ taxpayers. To achieve the objectives of this study, both qualitative and quantitative research approaches are been employed in line with this 357 questionnaires were randomly distributed to category ‘C’ taxpayers living in Laga-tafoLaga-dadhi town of Oromia regional state. The data collected through survey questionnaires is analyzed using SPSS software package. According to the findings of the study, three of the revenue management quality service indicators are found to have a positive and satisfactorysignificant effect on taxpayer satisfaction. Specifically, while reliability, responsiveness and empathy are found to be statistically significant; Tangibility and assurance of revenue management are found to be statistically insignificant at 5% level of significance.Based on the findings,the study recommend that the revenue authority should improve the current tax service and facilities to increase customers’ satisfaction; improve taxpayers’ attitude through tax education, awareness creation and consultation sessions; and the office should provide important services timely and adequately. It is also recommended that the office should solve the customers’ complaint properly; keep their records accurately following the standards of documentation and filing.



Revenue, revenue management, tax, satisfaction, taxpayers’ satisfaction. LagatafoLaga- dadhi