Why do small business taxpayers stay with their practitioners? Trust, competence and aggressive advice

Abstract

This article draws upon self-report survey data to examine the commitment of 181 small business taxpayers to their tax practitioners. Using hierarchical regression modelling, commitment was associated with a local chartered accountant; having a letter of engagement; receiving cautious, competent and aggressive advice (once expectations were controlled) and believing the tax practitioner trustworthy. Trust was related to receiving competent and cautious advice. Receiving aggressive advice contributed to commitment independently of being considered professionally competent and trustworthy.