Astri Warih Anjarwi
This study investigates the interplay between tax administration efficiency and fiscal freedom in Asian, emphasising the moderating influence of tax rates. Tax administration efficiency is evaluated through two metrics: tax preparation time and the number of taxes paid, while fiscal freedom is quantified using the fiscal freedom index. Employing panel data from 43 Asian countries spanning 2005–2019, the analysis reveals a significant negative relationship between tax preparation time, the number of taxes paid, and fiscal freedom. Furthermore, the interaction analysis demonstrates that tax rates exacerbate the adverse effects of tax preparation time and the tax burden on fiscal freedom. These findings underscore the critical need for tax reforms centred on digitalisation, administrative simplification, and the optimisation of tax rates to foster a more efficient and transparent tax system. The study provides valuable insights for policymakers in formulating fiscal strategies that enhance the investment climate, promote taxpayer compliance, and bolster economic competitiveness. © 2025 The University of Hong Kong.
Faculty of Administrative Sciences, Brawijaya University, Indonesia
