Analyzing Taxpayer’s Perceived Usefulness, Security, and Ease of Use on Adopting E-Invoice in Value-Added Tax Reporting

Abstract

It’s essential to reform the government system to modernize tax systems with assist of information communication technology implementation. The Nepal government has actively promoted einvoicing for value-added tax reporting, beginning with budget ordinances in 2075 B.S. This move aims to streamline tax processes and improve revenue collection, with ongoing government plan policies designed to refine the system further. The research examines the significance of taxpayers’ perception for the effective implementation of e-invoice in the Nepalese context. Specifically, it analyzes taxpayer perspectives on the utility, security, and usability of e-invoicing as drivers of early adoption within the VAT reporting framework. This research used descriptive and causal research designs. From the Rupandehi district, primary data with 174 taxpayers was surveyed using a non probability convenience sampling. The analysis reveals a significant association between taxpayers’ perceived usefulness, security, and ease of use and their inclination towards e-invoice adoption. As per the findings there is necessity of concentrating on taxpayer perceptions to properly employ information communication technology implementation solutions such as e-invoicing for increased tax compliance and overall tax system modernization in Nepal and other contexts.