Reflection of Tax Administration Enhancement Through Digital Technology to Micro Businesses

Description

Regardless of the importance of Micro Businesses (MBs) in forming a wide tax base, there isn’t a clear practical approach to tax administration of MBs in many developing countries. Specifically, there is limited information on how digital technology can address tax administration challenges for MBs. This book reflects on the potentials of digital technology to enhance tax revenue collection and management to Micro Businesses particularly in the Tanzanian context. The data on tax administration, challenges impeding tax administration to MBs, and the potential of digital technology used in tax administration and management were collected from different sources using questionnaire and interview. Big focus was to Tanzania Revenue Authority (TRA) as a prominent custodian on tax issues. The reflection presented in this book revealed that the current tax practices to MBs do not comply with tax theories of low administration cost, wide tax base, and simple-to-administer tax procedure.