Browsing by Author "Vegula, Emmanuel Erasto"

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    The effectivenes of tax audit in management of tax disputes in Tanzania : the case of Tanzania revenue authority (TRA)
    (University of Dar es Salaam, 2019) Vegula, Emmanuel Erasto
    This study assessed the effectiveness of tax audit in management of tax disputes in Tanzania, the case being Tanzania Revenue Authority. The study was guided by three specific objectives which were to assess the effectiveness of risk assessment in management of tax dispute, to assess the effectiveness of field audit in management of tax dispute and to assess the effectiveness of tax audit review in management of tax disputes. The study was guided by Economic Regulatory theory and Deterrent theory. The research objectives developed were also supported by the empirical study. The study used primary data collected vide questionnaires distributed to tax officers, taxpayers, tax consultants and advocates. The findings reveal that tax audit effectiveness have significant impact on the management of tax disputes. This has been evidenced by the result of the study that effective risk assessment, field audit and audit review have significant relationship with the management of tax dispute. All three variables of tax audit show to have positive related to tax dispute management even if the level of significant differs, where field audit and audit reviewer have stronger relationship than risk assessment. The study shows that there are other control variables other than the risk assessment, field audit and audit review which have influence on the management of tax disputes. These variables included regulatory framework, auditor's competence and taxpayer awareness. From the findings of study, taking into account the complexity in regulatory framework as well as taxpayer's awareness one can conclude that management of tax disputes requires auditor's competence to perform effective audit. The study recommends improvement of auditor's competency to improve tax audit and manage tax disputes. The governments need to put effort in improving the auditor's competence through training and secondments of its staff so as to enable them to perfume the audit effectively. With better auditor's competence, the risk assessment will be done effectively, the field audit will be done effectively and also the review of the audit report will be done properly. The study suggests further research to be undertaken focusing on other aspects such audit documentations, the relationship between taxpayer and tax auditors, law and regulations, tax disputes management process as well as taxpayers' motivation to pay tax. These areas seem to perform poorly and thus the findings and may be useful in bridging the gaps regarding the tax audit on the management of tax related disputes in Tanzania.