The purpose of this study was to analyse the moderating influence of tax morale on rule of law and tax compliance behaviour of self employed taxpayers in Bayelsa State, Nigeria. The study anchored on social exchange theory and survey research design was adopted with a population of 30, 450 self employed taxpayers. Stratified sampling technique was used to establish the number of trade and artisans self employed individuals grouped into fifteen (15) groups on the basis of line of business. The study was based on nine hundred (900) respondents on an average of sixty (60) participants from the fifteen (15) respondents groups out of which eight hundred and forty-two (842) were used as new respondents due to the number of questionnaires returned. Questionnaire were used as the primary source of data collection after reliability test using Cronbach Alpha and the responses obtained from the respondents were analysed using univariate, bivariate and multivariate analysis. The multiple regression analysis suggested that rule of law positively and significantly affects tax compliance behaviour of self employed taxpayers in Bayelsa State, Nigeria, and tax morale does positively and significantly affects the association between rule of law and tax compliance behaviour of self employed taxpayers in Bayelsa State, Nigeria. On the basis of the research findings, the study concluded that there is moderating function of tax morale on rule of law on tax compliance behaviour of self employed taxpayers in Bayelsa State, Nigeria. The study recommended amongst others that, the relevant tax authority (Bayelsa State Internal Revenue Service) should play a more vigorous responsibility in socializing tax laws and regulations to increase the awareness of taxpayers about the significance of fulfilling tax obligations, which will later be used for provision of social goods and services for the wellbeing of the citizens. Furthermore, understanding the social psychological (demographic) of a taxpayer as its relate to tax morale would help in addressing the issue of the rule of law and tax compliance behaviour in Nigeria, and this would also assist the government to formulate the better tax policies for effective and efficient revenue generation.
Keywords: Rule Of Law, tax knowledge, tax morale and tax compliance
