Authors :
Dr. Rutto Reuben
Volume/Issue :
Volume 5 - 2020, Issue 11 - November
Google Scholar :
http://bitly.ws/9nMw
Scribd :
https://bit.ly/2Vpr6Up
Abstract :
Kenya Revenue Authority (KRA) collects
more than 95 % of all government revenue. Through
taxation, govern t is able to raise revenue that is
sufficient for public spending without too much
borrowing. Tax is a compulsory payment imposed by the
government on the incomes and profits of individuals
and corporate bodies. Taxation is the central
government main source of revenue income. The amount
of tax revenue realized or expected by any state is
determined and influenced by various economic factors.
The factors range from micro to macro-economic. In
Kenya, revenues from taxes have, for quite some time,
remained low relative to the effort and tax policies in
place. The Kenya government has always been in search
for the appropriate policy strategy to enhance tax
revenues boost its revenue profile. This study sought to
find out the effect of infrastructural Development Index
(INFDI) on tax revenue performance in Kenya. The
study used annual time series secondary data for the
period 2003-2018, estimate a linear model of revenue
performance and the selected macro -economic factor.
The data was source from the Central Bank of Kenya,
Kenya National Bureau Statistics (KNBS), Ministry of
Finance data on National Budgets and other
Government records. The study used correlation and
regression analysis research design. The findings
established that INFDl had a positive relationship with
tax revenue collected. The value which is used to show to
what percent do the explanatory variables explain the
dependent variable was found to be 0.7697 while the p
values for all variables were found to be significant at
5% level of confidence. The findings will inform the
government on what areas to invest its resources in
order to boost and improve tax revenue performance
Keywords :
Tax Revenue Performance, Infrastructure Development Index.
Kenya Revenue Authority (KRA) collects
more than 95 % of all government revenue. Through
taxation, govern t is able to raise revenue that is
sufficient for public spending without too much
borrowing. Tax is a compulsory payment imposed by the
government on the incomes and profits of individuals
and corporate bodies. Taxation is the central
government main source of revenue income. The amount
of tax revenue realized or expected by any state is
determined and influenced by various economic factors.
The factors range from micro to macro-economic. In
Kenya, revenues from taxes have, for quite some time,
remained low relative to the effort and tax policies in
place. The Kenya government has always been in search
for the appropriate policy strategy to enhance tax
revenues boost its revenue profile. This study sought to
find out the effect of infrastructural Development Index
(INFDI) on tax revenue performance in Kenya. The
study used annual time series secondary data for the
period 2003-2018, estimate a linear model of revenue
performance and the selected macro -economic factor.
The data was source from the Central Bank of Kenya,
Kenya National Bureau Statistics (KNBS), Ministry of
Finance data on National Budgets and other
Government records. The study used correlation and
regression analysis research design. The findings
established that INFDl had a positive relationship with
tax revenue collected. The value which is used to show to
what percent do the explanatory variables explain the
dependent variable was found to be 0.7697 while the p
values for all variables were found to be significant at
5% level of confidence. The findings will inform the
government on what areas to invest its resources in
order to boost and improve tax revenue performance
Keywords :
Tax Revenue Performance, Infrastructure Development Index.
