A Research Report Submitted to Mzumbe University – Mbeya Campus College in Part of Partial Fulfilment for the Award of Bachelor Degree of Accountancy and Finance in Business Sector (BAF-BS) of Mzumbe University
The study aimed on analyses trader’s perception towards the usage of electronic fiscal device (EFDs) machine in Mwanza city, a case study of TRA office in Mwanza. The specific objectives were to determine initiatives made by TRA Mwanza in provision the usage of EFDs machines by traders in Mwanza, to examine the impact of using EFDs machines by traders to their businesses, to analysis the level of receptiveness of traders in Mwanza towards the usage of EFDs machine, to assess challenges facing TRA Mwanza in mobilizing traders into using EFDs machines.
The study used a cross-sectional research design; a sample of 150respondents was selected from the entire population that consisted of 240, purposively and simple random samplings were employed. Data were collected through questionnaire, interview guide, direct observation and participation and while data were analyzed with the help of descriptive statistics as frequencies and percentages were used and exploratory statistics. Quantitative data were analyzed with the help of Excel while qualitative data were analyzed using content analysis presented in tables and conveniently discussed.
It was reported during the study that EFDs have helped to make taxation services available and accessible to many tax payers. The devices are usable and reliable in the collection of tax. The major challenges facing full use of EFDs are high cost of purchasing the devices and lack of education on the side of taxpayers concerning the use of EFDs among others.
The study concludes and recommends review of purchasing price and maintenance costs, improvement on system or network breakdown, increase of education, awareness and motivation on use. However, there is the potential of having great advantage and/or improvement in tax revenue collection using EFDs if the challenges mentioned would be addressed.