Determinants of taxpayers’ use of electronic fiscal devices (EFDs) in Tanzania.

The government of Tanzania introduced the use of Electronic Fiscal Devices (EFDs) in order to boost the level of revenue collection and assist taxpayers to keep proper and reliable records. However, the use of EFDs has been facing a number challenges in acceptance and use leading to failure of the government to fully realize the intended goal. In response to that, this study investigated the determinants affecting taxpayers’ use of Electronic Fiscal devices (EFDs) in Tanzania. The specific objectives were to determine tax payers’ attitude towards the use of EFDs in Tanzania, determining the perceived usefulness of EFDs system in Tanzania, ease of use of EFDs systems in Tanzania and perceived behavioral control towards use of EFDs. A total of 80 respondents were involved in data collection process using questionnaires and interviews including tax officers and tax payers. The study used descriptive cross sectional research design. The findings revealed that majority tax payers had a positive attitude towards the use of EFD and taxpayers perceived that the process of acquiring and using EFDs in tax payment was fair and beneficial. However, there is still a significant portion of taxpayers with negative attitude towards the use of EFDs. The study calls upon the government to devise measures geared towards changing taxpayers’ perceptions towards the use of EFDs through taxpayer education programs and other forms of communication focusing on the mutual benefits of the devices. Similarly, it is recommended that, the government should focus on improving the level of support services for EFD users so as to enhance proper usage. This study recommends future studies to use longitudinal approach which considers changes of respondent’s behavior over time and experience factors.