Taxpayer's Perception on the Adoption of E-Filling System in Tanzanian Cities

Year 2024, Volume: 9 Issue: 1, 17 - 38, 30.06.2024

Hawa Munisi Heri Mulamula Fatma Omar

https://doi.org/10.30927/ijpf.1333120

Abstract

Electronic filing system (e-filling) is a recent phenomenon in Tanzania. The Tanzanian Government, through its revenue authority, TRA, in the year 2020 introduced a tax e-filling system for the effective collection of various types of taxes. Since the inception of the tax e-filling system in Tanzania, only a few studies have focused on retailers' perceptions of using such a system. This study adopted a descriptive survey design conducted in Tanzanian cities using a set of closed-ended questionnaires to a random sample of 423 taxpayers. The main finding of the study showed that perceived usefulness and user satisfaction significantly influence users' adoption intention of e-filling ([β = 0.396, p < 0.000; β = 0.343, p < 0.000, respectively]). Additionally, the study indicated a broad discrepancy between the advantages of tax e-filling to taxpayers, hence downplaying its usage/adaptability. The study recommended that awareness-raising campaigns and training be initiated to understand the tax e-filling system better. Policy-wise, the study contributes to the Income Tax Act, Cap. 332 R.E., 2019, the Tanzania Development Vision 2025, and the National Strategy for Growth and Reduction of Poverty I & II.

Keywords

Taxpayer’s perception, Usefulness, Facilitating condition, Taxpayer’s behavior, User satisfaction, E-filing System adoption, Taxpayer

Supporting Institution

THE INSTITUTE OF FINANCE MANAGEMENT

Project Number

INTERNAL RESEARCH GRANT

Thanks

We would like to express our appreciation and gratitude to the Institute of Finance Management (IFM) for funding this research.

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