Manuscript type: Research paper. Research aim: This paper aims to investigate the external factors that influence tax auditors' conciliatory style when dealing with tax disputes. Design/ Methodology/ Approach: A self-administered questionnaire which serves as the research instrument was used in this study. Respondents were tax auditors attached to the Inland Revenue Board of Malaysia (IRBM) in Peninsular Malaysia. Research findings: Findings show that the external factors of tax complexity and managerial control significantly influence tax auditors' conciliatory style. However, taxpayers' cooperation carries no impact. Theoretical contribution/ Originality: This study provides empirical evidence which demonstrates the influence of external factors (such as taxpayers' cooperation, tax complexity and managerial control) on tax auditors' conciliatory style. Practitioner/ Policy implications: The findings are relevant to the IRBM who can use the outcome to improve its dispute resolution process as well as to gain a better understanding of tax auditors' behaviour. Research limitation/ Implication: The findings of this study can only be generalised to the population in Peninsular Malaysia. Thus, future studies may be conducted in East Malaysia and other Asian countries so as to examine if tax auditors' behaviour differs across cultures.

Since the implementation of the self-assessment system in 2001, tax audit has become a major compliance program used by the Inland Revenue Board of Malaysia (IRBM). From 2002 to 2010, the IRBM finalised 4,486,946 audit cases and collected RM11,050.3 million of additional taxes and penalties (IRBM, 2002-2010). However, the public often conveys frustrations when dealing with the IRBM auditors. Tax agents perceive that IRBM auditors have the intention or aim of finding fault in order to impose penalties for incorrect returns or understated income, were not happy with taxpayers' explanations, abused their power by issuing additional tax assessments, and closed cases without being able to explain their reasons to taxpayers (Choong and Lai, 2009; Choong et al., 2012). However, there is no published study on IRBM auditors in conducting audit programs and communicating with the public. This study explores the IRBM auditors' enforcement regulatory styles. It adopts grounded theory methodology, which analyses tax auditors' actual beliefs and experiences in resolving audit settlement disputes. Consistent with enforcement regulatory theory, the analysis of data shows that tax auditors apply different enforcement regulatory styles-firm, explain and educate, bargaining and threatening. This study also has identified 'avoiding' as tax auditors' enforcement regulatory style when dealing with the public. The results of this study further the call for more studies on tax auditors' behaviour because their behaviour is so intimately intertwined with taxpayers' compliance and tax administration efficiency. (C) 2013 The Authors. Published by Elsevier. B.V.

The purpose of this study is to examine the validity and reliability of the questionnaire which serve as a research instrument. The validity of the instrument can be viewed by using the content validity that is conducted during pre-test which involves evaluation by experts in the subject area of study While, the reliability of the instrument can be seen through pilot study. Pilot study involved with a small scale of respondents where it is used to determine whether the instrument are reliable, whether the respondent has a clear understanding on questions in the questionnaire and it is conducted prior to real study. A total of 50 sets of questionnaire had been distributed to investigators from Inland Revenue Board of Malaysia (IRBM) in Jalan Duta branch. Out of these, only 21 completed questionnaires were returned. The data then was keyed in and analysed using SPSS software version 21. The results from reliability analysis revealed that Cronbach's alpha value for all variables (attitudes towards achieving goals, experience, ethical ideologies, managerial control and tax auditors' conciliatory style) are more than cut-off point that is 0.70. This can be concluded that the instrument is reliable and none of the items have to be deleted.

The way a tax auditor deals with taxpayers can give an impact on audit settlement outcomes. Qualitative studies show that tax auditors often use the conciliatory style as a strategy to resolve disputes because it expedites audit settlement and promotes long-term compliance. However, there is no study that has empirically examined the factors that influence tax auditors' conciliatory style. This study aims to examine the influence of personal characteristics i.e. attitude towards achieving goals, experience and ethical ideology on tax auditors' conciliatory style in resolving audit settlement disputes. Six hundred and thirty-six questionnaires (63.6% of response rate) were usable for data analysis. The results revealed that all the personal characteristics surveyed significantly influenced tax auditors' conciliatory style. This study can extend the literature on tax auditors' behaviour and facilitate the Inland Revenue Board of Malaysia in better understanding their auditors.

The way a tax auditor deals with taxpayers can give an impact on audit settlement outcomes. Qualitative studies show that tax auditors often use the conciliatory style as a strategy to resolve disputes because it expedites audit settlement and promotes long-term compliance. However, there is no study that has empirically examined the factors that influence tax auditors' conciliatory style. This study aims to examine the influence of personal characteristics i.e. attitude towards achieving goals, experience and ethical ideology on tax auditors' conciliatory style in resolving audit settlement disputes. Six hundred and thirty-six questionnaires (63.6% of response rate) were usable for data analysis. The results revealed that all the personal characteristics surveyed significantly influenced tax auditors' conciliatory style. This study can extend the literature on tax auditors' behaviour and facilitate the Inland Revenue Board of Malaysia in better understanding their auditors. � 2017 Universiti Putra Malaysia Press.

The Malaysian government introduced the Goods and Services Tax (GST) starting from 1 April 2015 to enhance the revenue collections and mitigate the transfer pricing manipulation. Tax agents play a significant role to help businesses to comply with GST law and regulations. After one year of GST implementation, it is vital to understand tax agents' perceptions on clients' compliance behaviour and tax agents' roles in influencing compliance. A total of 30 registered tax agents completed a survey questionnaire. The analysis shows that tax agents devote their time to provide advice to their clients on meeting their GST requirements, and recording and reporting of GST transactions. Tax agents assert that clients pass on their GST responsibilities to tax agents to some extent. Tax agents also perceive that clients' compliance level is low because clients occasionally submit GST03 after the deadline, compromise the accuracy of GST03 in order to get it done on time and intentionally make errors in their records. In terms of tax agents' role in promoting compliance, the tax agents strongly agree that it is important for them to act as trusted advisors for their clients. After one year of GST implementation, this is the first study that explores tax agents' perceptions on clients' compliance and tax agents' roles in promoting compliance. The findings benefit the Royal Malaysian Customs Department (RMCD) in assisting tax agents and the public for future compliance. Similar study should be adopted by countries that have recently implemented GST (for example, India) and it should be conducted to other GST players (i.e. taxpayers and RMCD officers) on annual basis to analyse the behavioural trends and identify weaknesses in GST administration.

The Inland Revenue Board of Malaysia (IRBM) established the Dispute Resolution Department in 2013. The objectives of the establishment are to resolve disputes as early as possible and to produce lawful, effective and acceptable outcomes. This study aims to explore public's awareness on the department existence after 8 months of establishment and perceptions on the IRBM dispute resolution. Questionnaires were distributed to 2014 National Tax Conference participants (e.g. tax agents, lawyers, taxpayers) held in Kuala Lumpur. The analysis showed that almost half (48.3%) of the respondents did not know the establishment of the department. The respondents agreed (mean 4.28) that tax disputes should be resolved within the tax office to avoid litigation, save cost and expedite audit settlement and avoid delay in revenue collection. The respondents fairly agreed with tax officers' competencies in resolving disputes (mean 3.71) and involvement of a mediator in resolving disputes (mean 3.39) due to cost and time consuming. More information on the department should be available in the IRBM website and media. This is the first empirical study on the public's awareness and perceptions on IRBM dispute resolution that provides a platform for further research and suggestions to IRBM for improvements. (C) 2015 The Authors. Published by Elsevier B.V.

In Malaysia, 97.3% of business establishments are comprised of small and medium enterprises (SMEs) which account for about 52.7% of total employment that is generated in the country. Malaysian government through the Ministry of International Trade and Industry (MITI) and its agencies works hard on assisting SMEs through various activities to promote exposures on prudent financial management. This paper aims to identify the financial strengths and weaknesses face by SMEs in helping those entities to plan appropriate financial management programme. Semi-structured interviews were conducted among thirty five SMEs that are willing to participate voluntarily. This study found that capital is the key elements in both strengths and weakness among SMEs. Running the business without any external capital (loan) reducing the financial risk of the business. It will be easier for the managers to make business decisions without any constraint as there is no limitation set by fund provider. The study also revealed capital insufficiency is the crucial problems among SMEs which might due to the difficulties to obtain external fund. Although the results should be taken with caution, nevertheless financial management is vital in order to face new business challenges as well as for the survival of the business in the future. (C) 2014 The Authors. Published by Elsevier Ltd.