What is the primary objective of tax compliance?

The primary objective of tax compliance is to ensure that taxpayers meet their obligations under tax law. This encompasses correctly reporting income, calculating tax liability, and making timely payments to the tax authorities. Compliance is crucial for the effective functioning of the tax system, as it ensures that the government can collect the revenue necessary for public services and infrastructure. When taxpayers fulfill their legal responsibilities, it helps maintain the integrity and fairness of the tax system.

While maximizing tax refunds and simplifying the tax filing process can be beneficial outcomes, they are not the central aim of tax compliance. Identifying tax evasion is an important aspect of maintaining compliance but does not encapsulate the broader purpose of ensuring that all taxpayers adhere to the rules. Ultimately, the essence of tax compliance revolves around meeting legal obligations to contribute to the overall tax system.