Most of developing countries rely on fiscal instruments in running their government’s operations; main source of public revenue in these countries is taxes. This study evaluated the taxpayer’s perceptions on the use of Electronic Fiscal Devices (EFDs) by analyzing the benefits of using EFDs in revenue collection; the perceptions of taxpayers towards the use of EFDs and challenges towards the use of the EFDs in revenue collection. The study adopted the survey research design and the sample size of 75 taxpayers was used. The findings show that majority of taxpayers’ demonstrated advantages of using EFDs machine in revenue collection. The study findings reveals that EFDs has reduced the time it takes to prepare sales report, secure tax information for auditing purpose and transaction; and ensure tax rate to be paid by the taxpayers. The challenges faced by EFDs users includes high prices of EFD machines, faint fiscal tax invoices, EFD’s network problem, lack of taxpayer’s education EFDs applications and few suppliers of EFDs machines. The study recommend Tanzania Revenue Authority (TRA) to conduct trainings and workshops with taxpayers on EFDs application; to provide incentives to encourage taxpayers’ adoption of EFDs; to ensure sensitization, education and training programs are promoted to taxpayers’ awareness in on EFDs system in friendly manner. Finally, the government through fiscal laws should make sure that all qualified taxpayers are enrolled on the use of EFD machine.
Ajayi, C. (2007). User Acceptability of Sustainable Soil Fertility Technologies: Lessons from Farmers’ Knowledge, Attitude and Practice in Southern Africa. Journal of Sustainable Agriculture, 30 (3), 21–40.
Arthur, A., Winfred, J., and Hart, D., (1990). Empirical Relationships between Cognitive Ability and Computer Familiarity. Journal of Research on Computing in Education, Volume 21: 457-463.
Baack, S., Brown, T., and Brown, J., 1991. Attitudes toward Computers: Views of older Adults Compared with those of Younger Adults. Journal of Research in Computing, Volume 23: 422-433.
Brief, A. (1998). Attitudes in and Around Organizations. Thousand Oaks, CA: Sage. (2nd Edition).
Cascio, W., 1986. Managing Human Resources: Productivity, Quality Of Work Life, Profits. New York: McGraw- Hill pp 130.
Chege, J. M. (2010). The Impact of Using Electronic Tax Register on Value Added Tax Compliance In Kenya: A Case Study Of Classified Hotels In Nairobi. Master’s Thesis: University of Nairobi. Electronic Retrieved: May 20, 2015: http://erepository.uonbi.ac.ke/bitstream/handle/11295/5356/Chege_The%20impact%20of%20using%20electronic%20tax%20register%20on%20value%20added%20tax%20compliance%20in%20Kenya.pdf?sequence=2
Caseys, P. and Castro, P. (2014) Electronic Fiscal Devices (EFDs) An Empirical Study of their Impact on Taxpayer Compliance and Administrative Efficiency IMF Working Paper, No./15/73.
Chad S.K and B. Wolf (1973), Elasticity and Bouyance of the Tax System of Peru 1960-71: An Empirical Analysis”, International Monetary Fund Staff Paper Vol. 28.
Ebeke, C. (2010). Remittances, Value Added Tax and Tax Revenue in Developing Countries. Working Paper No. 126. Retrieved: April, 2015, from http://publi.cerdi.org/ed/2010/2010.30.pdf.
Ikasu, E. J. (2014). Assessment of Challenges Facing the Implementation of Electronic Fiscal Devices (EFDs) in Revenue Collection in Tanzania; International Journal of Research in Business and Technology; Vol. 5, No 3 pp. 1-8
Gardner, G., Dukes, L., and Discenza, R., (1993). Computer Use, Self-Confidence and Attitudes: A Causal Analysis. Journal on computers in Human Behavior. Volume 9(3): 427-440.
Israel, M. (2010). Introduction of Electronic Fiscal Devices to Boost Revenues at Tanzania. East African Business Week (Kampala)
Kagoro, J. (2014) EFD: Success, Challenges and the way Forward: At the Accountant’s Annual Conference, Arusha.
Komanya, P. (2013). Local Governments Should Be Further Empowered. Retrieved May 23, 2015, http://www.ippmedia.com/frontend/?.
Liden, C., and Adams, M., (1992). Technological Change: Its Effects on the Training and Performance of Older Employees. Journal on advances in Global High-Technology Management, Volume 21: 217-234.
Lumumba, M. O., Wanjohi, M. S., Magutu, P. O., and Mokoro, J. M. (2010). Taxpayers? Attitudes And Tax Compliance Behaviour in Kenya: How The Taxpayers’ Attitudes Influence Compliance Behavior among SMEs Business Income Earners in Kerugoya Town, Kirinyaga District. African Journal of Business and Management, Volume 1: 112-122
Magutu, O.P, Obongo, B.M, & Onsongo, C.O, (2010). The Effectiveness of Electronic Tax Registers in Processing of Value Added Tax returns in Kisii Town, Kenya. African Journal of Business and Management. Volume 1: 44-54.
Malima, A. (2013). Enhancing Income Tax Collection in SMEs Customers’ Perspective: A Case of Tanzania Revenue Authority (TRA), Kinondoni. Dar es Salaam: Mzumbe University. Unpublished Thesis.
Marra, M, Pannell, J, and Abadi A, (2003). The Economics of Risk, Uncertainty And Learning in the Adoption of New Agricultural Technologies: Where are we on the Learning Curve? Agricultural Systems, 75 (2–3), 215–234
Mmanda, P. (2010). A presentation on; Introduction of Electronic Fiscal Device in Tanzania. TRA Journal: Dar es salaam.
Mponguliana, R.G.(2000), The Theory and Practice of Taxation in Tanzania, NBAA, Dar es Salaam.
Musgrave, R. (1987). “Tax Reforms in Developing Countries” in The Theory of Taxation for Developing Countries edited by David Newberry and Nicholas Stern, Oxford University Press, pp 242-263.
Nyasha, M.; Simba, N.; Tawanda, J.L.; Elson, F.; Alvin, N.; Paddington, M.; Tinashe, C.; Umera, T. (2013). Attitudes of Employees towards the Use of Fiscalised Electronic Devices in Calculating Value Added Tax (Vat). A Case Study of Motor Industry in Zimbabwe. International Journal of Management Sciences and Business Research, Volume 2 (4), pp. 24-30.
Oberholzer, R. (2007). Perceptions of Taxation: A Comparative Study of Different Population groups in South Africa, Doctoral Thesis, University Of Pretoria
OECD, (2013) Electronic Sales Suppression: A Threat to Tax Revenues.
Sacks, C., Bellisimo, B., Yolanda, O., and Mergendoller, J., (1993). Attitude toward Computers and Computer Use: The Issue of Gender. Journal of Research on Computing in Education, Volume 26: 257-269.
Schoemaker, H, (1982). The expected utility model: its variants, purposes, evidence and limitations. Journal of economic literature, 20 (2), 529–563.
Swanson, R. A. & Holton, E. F. (2000).Fundamentals of Human Resource Development. New York: Macmillan.
URT, (2010), Subsidiary Registration 2010, Printed By Government, Dar es salaam Tanzania.
URT, (2012) The Income Tax (Electronic Fiscal Devices) Regulations, 2012 No. 50 Vol. 93 dated 14th December, 2012.
Wagacha M., (1999), “Fiscal Policies and their Macroeconomic Implications for Kenya: Kenya Strategic Policies for the 21st Century” Institute of Policy Analysis and Research, Nairobi.
Weru, M., Kamaara, M. W. &Weru, N. (2013). Impact of strategic change: Introduction of electronic tax register for enhancement of tax collection at Kenya Revenue Authority. International Journal of Social Sciences and Entrepreneurship, 1 (5), 257-270.
Kira, A. R. (2016). The Perceptions of Taxpayers on the Adoption of Electronic Fiscal Devices (EFDs) in Revenue Collection in Tanzania: The Case of Dodoma. International Journal of Academic Research in Business and Social Sciences, 6(12), 37-51.
Copyright: © 2016 The Author(s)
Published by Human Resource Management Academic Research Society (www.hrmars.com)
This article is published under the Creative Commons Attribution (CC BY 4.0) license. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this license may be seen at: http://creativecommons.org/licences/by/4.0/legalcode
