Contribution of Electronic Tax Stamps on Accurate Filing of Excise Tax Returns in Kilimanjaro Region, Tanzania
Salum J. Sulanda1, Nyanjige Mayala2, Ladis Komba3
1Salum J. Sulanda, Department of Domestic Revenue, Mwenge Catholic University, P.O.BOX 1226 Moshi (Tanzania), East Africa.
2Dr. Nyanjige Mayala, Department of Economics and Business Studies (DEBS), Mwenge Catholic University (MWECAU), P. O. BOX 1226, Moshi (Tanzania), East Africa.
3Dr. Ladis Komba, Department of Economics and Business Studies (DEBS), Mwenge Catholic University (MWECAU), P. O. BOX 1226, Moshi (Tanzania), East Africa.
Manuscript received on 25 August 2024 | Revised Manuscript received on 28 September 2024 | Manuscript Accepted on 15 November 2024 | Manuscript published on 30 November 2024 | PP: 61-67 | Volume-4 Issue-2, November 2024 | Retrieval Number: 100.1/ijef.B259104021124 | DOI: 10.54105/ijef.B2591.04021124
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© The Authors. Published by Lattice Science Publication (LSP). This is an open-access article under the CC-BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/)
Abstract: Taxation is, by and large, the most important source of government revenue in nearly all countries. As such, countries worldwide have been embracing electronic means of collecting taxes. This study aimed to assess the contribution of Electronic Tax Stamps (ETS) to the accurate filing of excise in the Kilimanjaro Region of Tanzania. The revenue generation theory (RGT) guided the study and adopted a concurrent research design with a mixed research approach. The population for the study was 60 registered businesses for ETS in Kilimanjaro Region. The sample size was determined by census sampling techniques as the population for the study was small and manageable. Data collection used a questionnaire and a critical informant interview guide. Validity was ensured through content validity, where reading the literature on ETS was used. Then, experts from the University also read the instrument and gave their opinions. A Cronbach Alpha Coefficient test was used for the instrument’s reliability, where a 0.799 coefficient was obtained. Descriptive statistics were used to analyze the data collected and presented in tables, while content analysis was used to create themes for the key informants. The study findings indicated that ETS significantly contributes to the accurate filing of excise tax returns in the Kilimanjaro Region. It is concluded that the ETS system has resulted in accuracy in filing and reduced tax evasion, simplified tax payment processes, and increased business compliance. The study recommends that there should be a comprehensive tax reform strategy. The government and policymakers should develop and implement a comprehensive tax reform strategy that includes electronic tax stamps as one component that covers more businesses.
Keywords: Electronic Tax Stamp, Excise Tax, Accurate Filing, Tax Returns, Revenue Collection.
Scope of the Article: Tax