This study reviewed relevant literatures on the sensitisation of taxpayers’ education and tax administrations in enhancement of tax compliance. The library research was adopted in the study which entails a review of existing literature and forms the basis for the conclusion to be drawn. The study was supported by the fiscal exchange theory with the assumption that the behaviour of taxpayer’s compliance can be influenced with the services and public goods provided by the government. Tax non-compliance is common in developing countries and has been linked to a number of issues, including ineffective tax administration, low taxpayer morale, a lack of institutional capacity for taxing the informal sector, lack of technological infrastructure and mismanagement of tax revenue. This study then bring to recommendation that government should be transparent, accountable and reduce perception of corruption when dealing with taxpayers, as this would create trust and influence tax compliance voluntarily.
Keywords: fiscal exchange theory, sensitisation, tax administrations, tax compliance, taxpayers’ education.
