Type of Resource:
Working paper

Year of Publication:
2017

Indicators:
- Trends


Themes:
- Internet Access, Affordability And Use
- Internet Based Entrepreneurship

Author(s): Merima Ali, Abdulaziz B. Shifa, Abebe Shimeles and Firew Woldeyes

Limited fiscal capacity poses a significant challenge in developing countries. To mitigate this challenge, the adoption of electronic tax systems has been at the forefront of tax reforms by many developing countries; however, there is little systematic empirical evidence on the impact of such reforms. We attempt to narrow this gap by documenting evidence from Ethiopia where there has been a recent surge in the use of electronic sales registry machines (ESRMs). Using administrative data covering all business taxpayers, we find that ESRM use resulted in significant increases in reported sales and tax payments.

URL
https://www.afdb.org/fileadmin/uploads/afdb/Documents/Publications/WPS_No_290_Building_Fiscal_Capacity_The_role_of_ICT___A.pdf

Region of Study:


Country of Study:
Ethiopia,

Study Quality
Medium