Abstract:
This research study investigated the impact of electronic tax return filing on tax compliance and its
subsequent effect on revenue collection in Tanzania. The research utilized both primary and
secondary data sources, with questionnaires and interviews collecting primary data and secondary
data sourced from the TRA administration and relevant documents. Employing a descriptive
research design, the study aimed to gain a comprehensive understanding of the subject and
address the research objectives effectively.
A stratified sampling technique was employed to meticulously select taxpayers from various
subgroups with common characteristics or knowledge. The study adopted a combination of
exploratory and explanatory approaches to comprehensively evaluate the intricate relationships
between pertinent variables. Through thorough analysis of primary and secondary data, the
research intends to uncover the nuanced impact of electronic tax return filing on tax compliance and
its direct influence on revenue collection in the Tanzanian context.
Examining large-scale taxpaying entities and government operations, the research provided
valuable insights for both taxpayers and governmental authorities. The study sought to illuminate
the multifaceted effects of electronic tax return filing on tax compliance and revenue collection in
Tanzania. The comprehensive analysis enhanced the understandings of how digital tax returns filing
mechanisms can potentially reshape compliance dynamics and revenue generation strategies.
Findings revealed a positive and significant impact of the e-tax system on tax revenue generation.
Additionally, an increase in the number of registered taxpayers was found to positively influence tax
revenue. This study contributes to the awareness of both large taxpayers and the government,
indicating that the use of the e-filling system had an impact on reducing tax compliance costs and
assisting the government in collecting taxes in cost-efficient ways.
