Authors : Hamadi Ahmadi Mkasinyagaize

Volume/Issue : Volume 10 - 2025, Issue 1 - January

Google Scholar : https://tinyurl.com/36xh52ut

Scribd : https://tinyurl.com/5xz56aj3

DOI : https://doi.org/10.5281/zenodo.14759695

Abstract : Tax reforms play a crucial role in shaping Tanzania's economic landscape, particularly for small and medium enterprises (SMEs), which are significant contributors to employment and GDP growth. Despite ongoing reforms, concerns remain about their impact on SMEs, necessitating further investigation. This study explored the effects of technological tax reforms on tax compliance among SMEs in Tanzania, guided by the economic deterrence theory. Adopting a positivist philosophy and a descriptive survey research design, the study collected quantitative data using structured questionnaires administered to 169 SME owners in Kinondoni, Dar es Salaam, selected through convenience sampling. Multiple regression analysis revealed a statistically significant positive correlation between technological tax reforms and tax compliance. However, the reforms accounted for only 38% of the variation in tax compliance, indicating a moderate contribution. To enhance tax compliance as envisioned, the Government of Tanzania, through the Tanzania Revenue Authority (TRA), should invest more in ICT infrastructure, including computer devices, online systems, and internet access. Such investments would facilitate taxpayer education, improve knowledge and skills related to e-filing systems, e-registration, Electronic Fiscal Devices (EFDs), and the Integrated Tax Management System (ITMS).

Keywords : Technological Tax Reforms, Taxpayers, Tax Compliance, E-Filing System, E-Registration, Electronic Fiscal Devices and Intergraded Tax Management.

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