The Effect Of Service Delivery System On Cosutomer Satisfisfaction: A Study on Large Taxpayerse In Addis Ababa,Ethiopia.

Abstract

The main objective of the study is to assess the large taxpayers’ satisfaction in Addis Ababa with respect to tax service delivery system in Addis Ababa Revenue Authority-Large Taxpayers Branch Office. To achieve the objective, the mixed research approach; specifically concurrent approach was employed in order to counterbalance the quantitative and qualitative data results of the study and sample data was collected from 252 large taxpayers’ in Addis Ababa by cross-sectional survey method. In the survey method, a structured questionnaire and interview were used to collect the data. The research used a probability-sampling method specifically a random sampling method to select the participants from the population. The study has followed both descriptive and explanatory research design. The collected data was analyzed by mean, frequency, correlation, and regression analysis with the help of SPSS V25. The result of the study revealed that all dimensions of service delivery system i.e. service quality, delivery dimensions and complaints handling mechanisms have a significant and positive relationship with large taxpayers’ satisfaction in Addis Ababa Revenue Authority-Large Taxpayers Branch Office. However, even though there is a positive association between service delivery dimension and large taxpayers’ satisfaction, it is not statistically significant. Besides this, among the three dimensions of service delivery system, service quality dimension has the highest effect on large taxpayers’ satisfaction in the branch followed by complaints handling mechanism dimension. The study concluded that, all the three dimensions of service quality system, except service delivery dimension have positive and statistically significant association with large taxpayers’ satisfaction. The study recommended that due attention should be given to service quality dimensions and complaints handling dimensions to increase large taxpayers’ satisfaction level in the branch office. The importance of this study is to provide the satisfaction level of large taxpayers in Addis Ababa in reference to the tax service delivery system in Addis Ababa Revenue Authority Large Taxpayers Branch Office. Furthermore, for developing service delivery strategies to address efficient and effective service to large taxpayers so that they can increase large taxpayers’ satisfaction in order to collect sufficient revenue for the government.