Article’s

This research quantitatively examines the hypothesis that a significant Tax Knowledge Gap exists among young adults-defined as those between 18 and 30 years of age, and that this gap critically compromises their ability to engage in Prudent Financial Decision-Making. The study is motivated by the observation that, while general financial literacy has been prioritized, the specialized area of personal taxation remains poorly understood, leading to suboptimal economic outcomes such as ineffective budgeting, underutilization of wealth-building tools, and potential tax non-compliance. This study employs a Cross-Sectional Correlational Design to administer a structured questionnaire to a targeted sample of 300 university students and recent graduates. It measures both the Tax Literacy Score (TK-e.g., understanding marginal tax rates, deductions, and tax-advantaged vehicles) and the Financial Decision-Making Quality Score (FDMQ-e.g., participation in 401(k)/IRA plans, budgeting accuracy, and debt management strategies). Results are expected to strongly confirm a significant positive correlation-such as r≥0.60-between, between TK and FDMQ. It is expected that MLR Analysis will demonstrate that the TK Score is a statistically stronger predictor of FDMQ-β coefficient analysis than general financial literacy, with particular emphasis on driving strategic behaviours such as retirement savings participation. The key implication is that tax knowledge provides the structural foundation necessary to ensure effective financial planning. The paper concludes with an urgent call for targeted educational interventions at the secondary and tertiary levels to integrate practical tax education, thereby fostering fiscally responsible citizenship and long-term economic security among young people.