Author(s): Almutairi, A., & Naser, K.
The purpose of this study is to examine the perception of individuals towards introducing the Value Added Tax (VAT) in Kuwait. This research uses both quantitative and qualitative data analysis techniques to analyze the data collected from primary and secondary sources. The quantitative data analysis was applied to explore prospects and identify possible problems in introducing and administering the VAT. The collected data are analyzed by using descriptive statistics and performing a one-way ANOVA on ranks, Kruskal Wallis H test to determine whether the samples originate from the same distribution. Regression analysis was performed to identify the main factors behind supporting the introduction of VAT. The results show that the participants disagree with the perceived advantages of the VAT especially for businesses and final consumers. There was consensus that small businesses and end customers would be most affected by the introduction of the VAT system in Kuwait. The regression analysis showed positive association between the support for introducing VAT and the its perceived advantage to the economy. A positive association also appeared between the support and the participants place of work. However, significant negative association emerged between the support for VAT and the participants' nationality.