The study looked at an in-depth understanding of the tax systems in relation to the informal sectors in Harare, Zimbabwe. The research design for the study was a descriptive survey. The study methodology
was mixed methods. The study used interviews and surveys as data collection tools. The findings revealed that presumptive tax is the main tax system used by tax authorities on the informal sector. In addition to this, the study revealed that players in the informal sector were not willing to formalise their operations for
non-recognition in the formal system. The study recommended that presumptive tax must not be punitive and should not cripple the operations of the informal sector.
TAX SYSTEM IN THE INFORMAL SECTOR: A CASE STUDY OF HARARE INFORMAL SECTOR TAX...ectijjournal
The study looked at an in-depth understanding of the tax systems in relation to the informal sectors in Harare, Zimbabwe. The research design for the study was a descriptive survey. The study methodology was mixed methods. The study used interviews and surveys as data collection tools. The findings revealed that presumptive tax is the main tax system used by tax authorities on the informal sector. In addition to this, the study revealed that players in the informal sector were not willing to formalise their operations for non-recognition in the formal system. The study recommended that presumptive tax must not be punitive and should not cripple the operations of the informal sector.
TAX SYSTEM IN THE INFORMAL SECTOR: A CASE STUDY OF HARARE INFORMAL SECTOR TAX...ECTIJ
The study looked at an in-depth understanding of the tax systems in relation to the informal sectors in Harare, Zimbabwe. The research design for the study was a descriptive survey. The study methodology was mixed methods. The study used interviews and surveys as data collection tools. The findings revealed that presumptive tax is the main tax system used by tax authorities on the informal sector. In addition to this, the study revealed that players in the informal sector were not willing to formalise their operations for non-recognition in the formal system. The study recommended that presumptive tax must not be punitive and should not cripple the operations of the informal sector.
INFORMAL SECTOR FINANCIAL CHALLENGES: A CASE OF MANUFACTURING INFORMAL SMALL ...ECTIJ
The study made an evaluation on the financial challenges in relation to manufacturing informal enterprises (SMEs) in Harare. The research adopted the mixed research methodology. Primary data collection tools used were: interviews and surveys. The study’s major finding was that informal small and medium enterprises were virtually excluded from accessing working capital formal credit from established financial institutions due to a myriad of challenges, the key challenge being none or inadequate bookkeeping practices. Furthermore, the study revealed that The informal SMEs contribute significantly over 60% to the Zimbabwe’s formal economy through various taxes and informal employment. The study recommended that Ministry of Small and Medium enterprises should provide assistance in form of formal credit basing on according records kept by informal sector.
INFORMAL SECTOR FINANCIAL CHALLENGES: A CASE OF MANUFACTURING INFORMAL SMALL ...ectijjournal
The study made an evaluation on the financial challenges in relation to manufacturing informal enterprises
(SMEs) in Harare. The research adopted the mixed research methodology. Primary data collection tools
used were: interviews and surveys. The study’s major finding was that informal small and medium
enterprises were virtually excluded from accessing working capital formal credit from established financial
institutions due to a myriad of challenges, the key challenge being none or inadequate bookkeeping
practices. Furthermore, the study revealed that The informal SMEs contribute significantly over 60% to the
Zimbabwe’s formal economy through various taxes and informal employment. The study recommended
that Ministry of Small and Medium enterprises should provide assistance in form of formal credit basing
on according records kept by informal sector.
INFORMAL SECTOR FINANCIAL CHALLENGES: A CASE OF MANUFACTURING INFORMAL SMALL ...ECTIJ
The study made an evaluation on the financial challenges in relation to manufacturing informal enterprises (SMEs) in Harare. The research adopted the mixed research methodology. Primary data collection tools used were: interviews and surveys. The study’s major finding was that informal small and medium
enterprises were virtually excluded from accessing working capital formal credit from established financial institutions due to a myriad of challenges, the key challenge being none or inadequate bookkeeping practices. Furthermore, the study revealed that The informal SMEs contribute significantly over 60% to the
Zimbabwe’s formal economy through various taxes and informal employment. The study recommended
that Ministry of Small and Medium enterprises should provide assistance in form of formal credit basing on according records kept by informal sector.
TAX SYSTEM IN THE INFORMAL SECTOR: A CASE STUDY OF HARARE INFORMAL SECTOR TAX...ectijjournal
The study looked at an in-depth understanding of the tax systems in relation to the informal sectors in Harare, Zimbabwe. The research design for the study was a descriptive survey. The study methodology was mixed methods. The study used interviews and surveys as data collection tools. The findings revealed that presumptive tax is the main tax system used by tax authorities on the informal sector. In addition to this, the study revealed that players in the informal sector were not willing to formalise their operations for non-recognition in the formal system. The study recommended that presumptive tax must not be punitive and should not cripple the operations of the informal sector.
TAX SYSTEM IN THE INFORMAL SECTOR: A CASE STUDY OF HARARE INFORMAL SECTOR TAX...ECTIJ
The study looked at an in-depth understanding of the tax systems in relation to the informal sectors in Harare, Zimbabwe. The research design for the study was a descriptive survey. The study methodology was mixed methods. The study used interviews and surveys as data collection tools. The findings revealed that presumptive tax is the main tax system used by tax authorities on the informal sector. In addition to this, the study revealed that players in the informal sector were not willing to formalise their operations for non-recognition in the formal system. The study recommended that presumptive tax must not be punitive and should not cripple the operations of the informal sector.
INFORMAL SECTOR FINANCIAL CHALLENGES: A CASE OF MANUFACTURING INFORMAL SMALL ...ECTIJ
The study made an evaluation on the financial challenges in relation to manufacturing informal enterprises (SMEs) in Harare. The research adopted the mixed research methodology. Primary data collection tools used were: interviews and surveys. The study’s major finding was that informal small and medium enterprises were virtually excluded from accessing working capital formal credit from established financial institutions due to a myriad of challenges, the key challenge being none or inadequate bookkeeping practices. Furthermore, the study revealed that The informal SMEs contribute significantly over 60% to the Zimbabwe’s formal economy through various taxes and informal employment. The study recommended that Ministry of Small and Medium enterprises should provide assistance in form of formal credit basing on according records kept by informal sector.
INFORMAL SECTOR FINANCIAL CHALLENGES: A CASE OF MANUFACTURING INFORMAL SMALL ...ectijjournal
The study made an evaluation on the financial challenges in relation to manufacturing informal enterprises
(SMEs) in Harare. The research adopted the mixed research methodology. Primary data collection tools
used were: interviews and surveys. The study’s major finding was that informal small and medium
enterprises were virtually excluded from accessing working capital formal credit from established financial
institutions due to a myriad of challenges, the key challenge being none or inadequate bookkeeping
practices. Furthermore, the study revealed that The informal SMEs contribute significantly over 60% to the
Zimbabwe’s formal economy through various taxes and informal employment. The study recommended
that Ministry of Small and Medium enterprises should provide assistance in form of formal credit basing
on according records kept by informal sector.
INFORMAL SECTOR FINANCIAL CHALLENGES: A CASE OF MANUFACTURING INFORMAL SMALL ...ECTIJ
The study made an evaluation on the financial challenges in relation to manufacturing informal enterprises (SMEs) in Harare. The research adopted the mixed research methodology. Primary data collection tools used were: interviews and surveys. The study’s major finding was that informal small and medium
enterprises were virtually excluded from accessing working capital formal credit from established financial institutions due to a myriad of challenges, the key challenge being none or inadequate bookkeeping practices. Furthermore, the study revealed that The informal SMEs contribute significantly over 60% to the
Zimbabwe’s formal economy through various taxes and informal employment. The study recommended
that Ministry of Small and Medium enterprises should provide assistance in form of formal credit basing on according records kept by informal sector.
A Logit Model of Informal Traders’ Decision to Evade Tax: A Case of Zimbabweiosrjce
Taxation is the commonest and oldest source of government revenue in the world. The main reason
for taxation is to finance government expenses and redistribute of wealth. The shadow economy and tax evasion
are both widespread in Zimbabwe. When the taxation system is not effective, many economic agents will use this
opportunity to escape paying tax (which is legal) or evade tax which is illegal. When tax evasion exist, the
government fails to allocate enough income for its programs, hence fails to deliver desirable social services.
Noting the significant influence of tax evasion on the state, this paper pursues to determine factors that cause
tax evasion and their relative impact. A questionnaire approach has been employed to collect responses. Using
a logit model the results shows that income, marital status and frequency of crossing the border have positive
effect on tax evasion
FACTORS AFFECTING TAX COMPLIANCE AMONG SMALL AND MEDIUM ENTERPRISES IN KITALE...paperpublications3
Abstract:This study seeks to establish factors affecting tax compliance by Small and Medium Enterprises, with special emphasis on Income Tax and Value Added Tax and their effects on government revenue. Tax compliance level which is internal factor affecting tax revenue not only undermines tax administration infrastructure but also makes the tax base narrow and inequitable. The objectives of the study include establishing the influence of compliance cost, fines and penalties and attitudes of tax compliance among Small and Medium Enterprises. The study adopts a descriptive research design involving both qualitative and quantitative research methodology. The target population was 200, out of which a sample size of 132 respondents were drawn, using stratified and simple random sampling. Questionnaires were used to collect primary data from the respondents, which were analyzed using SPSS applying both descriptive and inferential analysis. There was a positive relationship between the tax and compliance cost (r=.514), fines and penalties (r=.415) attitudes (r=.546) and tax compliance. The findings showed that compliance cost, fines and penalties and attitude had significant relationship with tax compliance. It is recommended that the tax system should provide a clear and simple guideline on how to fill tax returns but also enhance taxpayer education services to enable the taxpayers understand their rights and obligations as taxpayers, there should be moderate levels of fines and taxes so that SMEs are encouraged to comply since they will keep accurate records for taxation purposes in order to avoid fines and penalties.
Keywords: Direct tax, Indirect tax, Medium enterprise, Productive expenditure, tax evasion, tax impact.
FACTORS AFFECTING TAX COMPLIANCE AMONG SMALL AND MEDIUM ENTERPRISES IN KITALE...paperpublications3
Abstract:This study seeks to establish factors affecting tax compliance by Small and Medium Enterprises, with special emphasis on Income Tax and Value Added Tax and their effects on government revenue. Tax compliance level which is internal factor affecting tax revenue not only undermines tax administration infrastructure but also makes the tax base narrow and inequitable. The objectives of the study include establishing the influence of compliance cost, fines and penalties and attitudes of tax compliance among Small and Medium Enterprises. The study adopts a descriptive research design involving both qualitative and quantitative research methodology. The target population was 200, out of which a sample size of 132 respondents were drawn, using stratified and simple random sampling. Questionnaires were used to collect primary data from the respondents, which were analyzed using SPSS applying both descriptive and inferential analysis. There was a positive relationship between the tax and compliance cost (r=.514), fines and penalties (r=.415) attitudes (r=.546) and tax compliance. The findings showed that compliance cost, fines and penalties and attitude had significant relationship with tax compliance. It is recommended that the tax system should provide a clear and simple guideline on how to fill tax returns but also enhance taxpayer education services to enable the taxpayers understand their rights and obligations as taxpayers, there should be moderate levels of fines and taxes so that SMEs are encouraged to comply since they will keep accurate records for taxation purposes in order to avoid fines and penalties.
The ASSESSMENT of TAXATION on PERFORMANCE of MICRO and SMALL ENTERPRISE in th...Premier Publishers
The study is entitled the Assessment of taxation on performance of micro and small enterprise (MSE) in Nedjo town. The main objective of this study is to assess the taxation on performance of micro and small enterprise in the case of Nedjo town using descriptive research design. The total population of the study is 94 MSE firms running their business in Nedjo town. The study used stratified sampling procedures using the five sectors of the MSE firms as a stratum. In order to collect data, most MSE owners working in the position of manager and few MSE firm owner that work in the position accountants were contacted for data collection where MSE firms’ managers were not available at the time of data collection and data was analyzed by using statistical package for social science. The finding shows that age of respondents, tax system, tax rate, tax administration, tax level and tax education and training shows statistically significant positive impact on the performance of the MSE firms in correlation analysis. Also, the study found sex of respondents, age of respondents, educational status of respondents, tax system, tax administration, tax level and training shows a significant positive Assessment whereas tax compliance cost shows a significant negative Assessment on the performance of the MSE firms in regression analysis. Finally, the study recommended that tax administrators and tax policy makers are advised to improve existing tax system, tax rate, tax administration system, tax level, tax compliance costs as well as tax education and training so as to increase the performance of the MSE firms in the study area.
Financial literacy is a major determinant of demand for financial services. This study sought to
determine the levels of financial literacy of informal Enterprise owners and to establish the link with Enterprise
usage of financial services, and at the same time to determine socio-demographic and Enterprise characteristics
that may affect levels of financial literacy, and Enterprises’ usage of financial services
The Effect of Tax Payment on the Performance of SMEs: The Case of Selected SM...Evans Tee
Taxation plays important role in the development of every economy as well as the growth of Small and Medium
Enterprises (SMEs). In a middle-income country like Ghana, the role of SMEs is critical in pushing the socioeconomic
development agenda of the country further. Therefore, alignment of the tax system to the specific
SME growth needs can be considered an important agenda for the policy makers. Keeping this issue at focus, the
study aimed to explore the managers/ executive officers’ perception of the tax system in Ghana on the
profitability of their businesses. The study is based on a survey of 102 managers/ Executive officers of the
selected SMEs in the Ga West Municipality in the Greater Accra region of Ghana. The survey was administered
using questionnaire and interview with the selected respondents. Data was analyzed by descriptive analysis
method, correlation and regression analysis and findings were presented in terms of frequencies and percentage
analysis. Findings indicate that majority of the respondents perceive the adverse impact of existing tax policies
on the growth of SMEs and suggest for reforming the tax policies in the Country. The findings would help the
stakeholders in designing measures to align the tax system to SMEs in a more effective manner.
Economics, Commerce and Trade Management: An International Journal (ECTIJ)ECTIJ
Economics, Commerce and Trade Management: An International Journal (ECTIJ) is a peer-reviewed, open access journal that addresses the impacts and challenges of all areas of economics, Commerce and Trade Management. It is an interdisciplinary journal which brings together researchers, academics, policy makers and practitioners in business and non-profit organizations.
Economics, Commerce and Trade Management: An International Journal (ECTIJ)ECTIJ
Economics, Commerce and Trade Management: An International Journal (ECTIJ) is a peer-reviewed, open access journal that addresses the impacts and challenges of all areas of economics, Commerce and Trade Management. It is an interdisciplinary journal which brings together researchers, academics, policy makers and practitioners in business and non-profit organizations.
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A Logit Model of Informal Traders’ Decision to Evade Tax: A Case of Zimbabweiosrjce
Taxation is the commonest and oldest source of government revenue in the world. The main reason
for taxation is to finance government expenses and redistribute of wealth. The shadow economy and tax evasion
are both widespread in Zimbabwe. When the taxation system is not effective, many economic agents will use this
opportunity to escape paying tax (which is legal) or evade tax which is illegal. When tax evasion exist, the
government fails to allocate enough income for its programs, hence fails to deliver desirable social services.
Noting the significant influence of tax evasion on the state, this paper pursues to determine factors that cause
tax evasion and their relative impact. A questionnaire approach has been employed to collect responses. Using
a logit model the results shows that income, marital status and frequency of crossing the border have positive
effect on tax evasion
FACTORS AFFECTING TAX COMPLIANCE AMONG SMALL AND MEDIUM ENTERPRISES IN KITALE...paperpublications3
Abstract:This study seeks to establish factors affecting tax compliance by Small and Medium Enterprises, with special emphasis on Income Tax and Value Added Tax and their effects on government revenue. Tax compliance level which is internal factor affecting tax revenue not only undermines tax administration infrastructure but also makes the tax base narrow and inequitable. The objectives of the study include establishing the influence of compliance cost, fines and penalties and attitudes of tax compliance among Small and Medium Enterprises. The study adopts a descriptive research design involving both qualitative and quantitative research methodology. The target population was 200, out of which a sample size of 132 respondents were drawn, using stratified and simple random sampling. Questionnaires were used to collect primary data from the respondents, which were analyzed using SPSS applying both descriptive and inferential analysis. There was a positive relationship between the tax and compliance cost (r=.514), fines and penalties (r=.415) attitudes (r=.546) and tax compliance. The findings showed that compliance cost, fines and penalties and attitude had significant relationship with tax compliance. It is recommended that the tax system should provide a clear and simple guideline on how to fill tax returns but also enhance taxpayer education services to enable the taxpayers understand their rights and obligations as taxpayers, there should be moderate levels of fines and taxes so that SMEs are encouraged to comply since they will keep accurate records for taxation purposes in order to avoid fines and penalties.
Keywords: Direct tax, Indirect tax, Medium enterprise, Productive expenditure, tax evasion, tax impact.
FACTORS AFFECTING TAX COMPLIANCE AMONG SMALL AND MEDIUM ENTERPRISES IN KITALE...paperpublications3
Abstract:This study seeks to establish factors affecting tax compliance by Small and Medium Enterprises, with special emphasis on Income Tax and Value Added Tax and their effects on government revenue. Tax compliance level which is internal factor affecting tax revenue not only undermines tax administration infrastructure but also makes the tax base narrow and inequitable. The objectives of the study include establishing the influence of compliance cost, fines and penalties and attitudes of tax compliance among Small and Medium Enterprises. The study adopts a descriptive research design involving both qualitative and quantitative research methodology. The target population was 200, out of which a sample size of 132 respondents were drawn, using stratified and simple random sampling. Questionnaires were used to collect primary data from the respondents, which were analyzed using SPSS applying both descriptive and inferential analysis. There was a positive relationship between the tax and compliance cost (r=.514), fines and penalties (r=.415) attitudes (r=.546) and tax compliance. The findings showed that compliance cost, fines and penalties and attitude had significant relationship with tax compliance. It is recommended that the tax system should provide a clear and simple guideline on how to fill tax returns but also enhance taxpayer education services to enable the taxpayers understand their rights and obligations as taxpayers, there should be moderate levels of fines and taxes so that SMEs are encouraged to comply since they will keep accurate records for taxation purposes in order to avoid fines and penalties.
The ASSESSMENT of TAXATION on PERFORMANCE of MICRO and SMALL ENTERPRISE in th...Premier Publishers
The study is entitled the Assessment of taxation on performance of micro and small enterprise (MSE) in Nedjo town. The main objective of this study is to assess the taxation on performance of micro and small enterprise in the case of Nedjo town using descriptive research design. The total population of the study is 94 MSE firms running their business in Nedjo town. The study used stratified sampling procedures using the five sectors of the MSE firms as a stratum. In order to collect data, most MSE owners working in the position of manager and few MSE firm owner that work in the position accountants were contacted for data collection where MSE firms’ managers were not available at the time of data collection and data was analyzed by using statistical package for social science. The finding shows that age of respondents, tax system, tax rate, tax administration, tax level and tax education and training shows statistically significant positive impact on the performance of the MSE firms in correlation analysis. Also, the study found sex of respondents, age of respondents, educational status of respondents, tax system, tax administration, tax level and training shows a significant positive Assessment whereas tax compliance cost shows a significant negative Assessment on the performance of the MSE firms in regression analysis. Finally, the study recommended that tax administrators and tax policy makers are advised to improve existing tax system, tax rate, tax administration system, tax level, tax compliance costs as well as tax education and training so as to increase the performance of the MSE firms in the study area.
Financial literacy is a major determinant of demand for financial services. This study sought to
determine the levels of financial literacy of informal Enterprise owners and to establish the link with Enterprise
usage of financial services, and at the same time to determine socio-demographic and Enterprise characteristics
that may affect levels of financial literacy, and Enterprises’ usage of financial services
The Effect of Tax Payment on the Performance of SMEs: The Case of Selected SM...Evans Tee
Taxation plays important role in the development of every economy as well as the growth of Small and Medium
Enterprises (SMEs). In a middle-income country like Ghana, the role of SMEs is critical in pushing the socioeconomic
development agenda of the country further. Therefore, alignment of the tax system to the specific
SME growth needs can be considered an important agenda for the policy makers. Keeping this issue at focus, the
study aimed to explore the managers/ executive officers’ perception of the tax system in Ghana on the
profitability of their businesses. The study is based on a survey of 102 managers/ Executive officers of the
selected SMEs in the Ga West Municipality in the Greater Accra region of Ghana. The survey was administered
using questionnaire and interview with the selected respondents. Data was analyzed by descriptive analysis
method, correlation and regression analysis and findings were presented in terms of frequencies and percentage
analysis. Findings indicate that majority of the respondents perceive the adverse impact of existing tax policies
on the growth of SMEs and suggest for reforming the tax policies in the Country. The findings would help the
stakeholders in designing measures to align the tax system to SMEs in a more effective manner.
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Economics, Commerce and Trade Management: An International Journal (ECTIJ)ECTIJ
Economics, Commerce and Trade Management: An International Journal (ECTIJ) is a peer-reviewed, open access journal that addresses the impacts and challenges of all areas of economics, Commerce and Trade Management. It is an interdisciplinary journal which brings together researchers, academics, policy makers and practitioners in business and non-profit organizations.
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2nd International Conference on Speech and NLP.docxECTIJ
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2nd International Conference on Speech and NLP.docxECTIJ
2nd International Conference on Speech and NLP (SPNLP 2024) will provide an excellent international forums for sharing knowledge and results in theory, methodology and applications of speech and Natural Language Processing (NLP).
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The unprecedented pace of growth of China-Africa trade and investment relationship in the last two decades has attracted greater intellectual curiosity among social scientists. In 2001, the annual trade volume between the two was estimated to be US$ 10 Billion. This figure has astonishingly increased to US$ 215 Billion by 2016. This growing relationship has been characterised by scholars under three approaches. The first one sees China as a true development partner of Africa. The second approach is that China is an economic competitor of the West in Africa with the ultimate objective of having its own share in exploiting the natural resources of the continent. The third approach is an extreme position of characterizing the engagement as a new colonialism. The paper concludes that China should be seen as a true development partner as opposed to the claims of exploitation and colonization.
Embracing GenAI - A Strategic ImperativePeter Windle
Artificial Intelligence (AI) technologies such as Generative AI, Image Generators and Large Language Models have had a dramatic impact on teaching, learning and assessment over the past 18 months. The most immediate threat AI posed was to Academic Integrity with Higher Education Institutes (HEIs) focusing their efforts on combating the use of GenAI in assessment. Guidelines were developed for staff and students, policies put in place too. Innovative educators have forged paths in the use of Generative AI for teaching, learning and assessments leading to pockets of transformation springing up across HEIs, often with little or no top-down guidance, support or direction.
This Gasta posits a strategic approach to integrating AI into HEIs to prepare staff, students and the curriculum for an evolving world and workplace. We will highlight the advantages of working with these technologies beyond the realm of teaching, learning and assessment by considering prompt engineering skills, industry impact, curriculum changes, and the need for staff upskilling. In contrast, not engaging strategically with Generative AI poses risks, including falling behind peers, missed opportunities and failing to ensure our graduates remain employable. The rapid evolution of AI technologies necessitates a proactive and strategic approach if we are to remain relevant.
Welcome to TechSoup New Member Orientation and Q&A (May 2024).pdfTechSoup
In this webinar you will learn how your organization can access TechSoup's wide variety of product discount and donation programs. From hardware to software, we'll give you a tour of the tools available to help your nonprofit with productivity, collaboration, financial management, donor tracking, security, and more.
June 3, 2024 Anti-Semitism Letter Sent to MIT President Kornbluth and MIT Cor...Levi Shapiro
Letter from the Congress of the United States regarding Anti-Semitism sent June 3rd to MIT President Sally Kornbluth, MIT Corp Chair, Mark Gorenberg
Dear Dr. Kornbluth and Mr. Gorenberg,
The US House of Representatives is deeply concerned by ongoing and pervasive acts of antisemitic
harassment and intimidation at the Massachusetts Institute of Technology (MIT). Failing to act decisively to ensure a safe learning environment for all students would be a grave dereliction of your responsibilities as President of MIT and Chair of the MIT Corporation.
This Congress will not stand idly by and allow an environment hostile to Jewish students to persist. The House believes that your institution is in violation of Title VI of the Civil Rights Act, and the inability or
unwillingness to rectify this violation through action requires accountability.
Postsecondary education is a unique opportunity for students to learn and have their ideas and beliefs challenged. However, universities receiving hundreds of millions of federal funds annually have denied
students that opportunity and have been hijacked to become venues for the promotion of terrorism, antisemitic harassment and intimidation, unlawful encampments, and in some cases, assaults and riots.
The House of Representatives will not countenance the use of federal funds to indoctrinate students into hateful, antisemitic, anti-American supporters of terrorism. Investigations into campus antisemitism by the Committee on Education and the Workforce and the Committee on Ways and Means have been expanded into a Congress-wide probe across all relevant jurisdictions to address this national crisis. The undersigned Committees will conduct oversight into the use of federal funds at MIT and its learning environment under authorities granted to each Committee.
• The Committee on Education and the Workforce has been investigating your institution since December 7, 2023. The Committee has broad jurisdiction over postsecondary education, including its compliance with Title VI of the Civil Rights Act, campus safety concerns over disruptions to the learning environment, and the awarding of federal student aid under the Higher Education Act.
• The Committee on Oversight and Accountability is investigating the sources of funding and other support flowing to groups espousing pro-Hamas propaganda and engaged in antisemitic harassment and intimidation of students. The Committee on Oversight and Accountability is the principal oversight committee of the US House of Representatives and has broad authority to investigate “any matter” at “any time” under House Rule X.
• The Committee on Ways and Means has been investigating several universities since November 15, 2023, when the Committee held a hearing entitled From Ivory Towers to Dark Corners: Investigating the Nexus Between Antisemitism, Tax-Exempt Universities, and Terror Financing. The Committee followed the hearing with letters to those institutions on January 10, 202
Biological screening of herbal drugs: Introduction and Need for
Phyto-Pharmacological Screening, New Strategies for evaluating
Natural Products, In vitro evaluation techniques for Antioxidants, Antimicrobial and Anticancer drugs. In vivo evaluation techniques
for Anti-inflammatory, Antiulcer, Anticancer, Wound healing, Antidiabetic, Hepatoprotective, Cardio protective, Diuretics and
Antifertility, Toxicity studies as per OECD guidelines
Introduction to AI for Nonprofits with Tapp NetworkTechSoup
Dive into the world of AI! Experts Jon Hill and Tareq Monaur will guide you through AI's role in enhancing nonprofit websites and basic marketing strategies, making it easy to understand and apply.
2024.06.01 Introducing a competency framework for languag learning materials ...Sandy Millin
http://sandymillin.wordpress.com/iateflwebinar2024
Published classroom materials form the basis of syllabuses, drive teacher professional development, and have a potentially huge influence on learners, teachers and education systems. All teachers also create their own materials, whether a few sentences on a blackboard, a highly-structured fully-realised online course, or anything in between. Despite this, the knowledge and skills needed to create effective language learning materials are rarely part of teacher training, and are mostly learnt by trial and error.
Knowledge and skills frameworks, generally called competency frameworks, for ELT teachers, trainers and managers have existed for a few years now. However, until I created one for my MA dissertation, there wasn’t one drawing together what we need to know and do to be able to effectively produce language learning materials.
This webinar will introduce you to my framework, highlighting the key competencies I identified from my research. It will also show how anybody involved in language teaching (any language, not just English!), teacher training, managing schools or developing language learning materials can benefit from using the framework.
The French Revolution, which began in 1789, was a period of radical social and political upheaval in France. It marked the decline of absolute monarchies, the rise of secular and democratic republics, and the eventual rise of Napoleon Bonaparte. This revolutionary period is crucial in understanding the transition from feudalism to modernity in Europe.
For more information, visit-www.vavaclasses.com
CLASS 11 CBSE B.St Project AIDS TO TRADE - INSURANCE
Tax System In The Informal Sector: A Case Study of Harare Informal Sector Tax Systems
1. 1
TAX SYSTEM IN THE INFORMAL SECTOR: A CASE
STUDY OF HARARE INFORMAL SECTOR TAX
SYSTEMS
Zingwina Moses and Njaya Tavonga
Faculty of Commerce and Law, Zimbabwe Open University
ABSTRACT
The study looked at an in-depth understanding of the tax systems in relation to the informal sectors in
Harare, Zimbabwe. The research design for the study was a descriptive survey. The study methodology
was mixed methods. The study used interviews and surveys as data collection tools. The findings revealed
that presumptive tax is the main tax system used by tax authorities on the informal sector. In addition to
this, the study revealed that players in the informal sector were not willing to formalise their operations for
non-recognition in the formal system. The study recommended that presumptive tax must not be punitive
and should not cripple the operations of the informal sector.
KEYWORDS
Informal sector (SMEs), Tax systems, Presumptive tax, formal credit
1. INTRODUCTION
These informal SMEs are generally entrepreneurial owner financed and managed, but flexible
and adaptive to the economic challenges currently being encountered in the Zimbabwe economy.
They do not have access to formal lines of credit and financial services mainly due to their non-
corporate nature and lack of formal accounting record keeping practices that aid disclosure and
accountability. Numerous informal enterprises across the globe mainly in the Sub Saharan Africa
and Latin America are not registered in the standard tax systems (IMF, 2007). As a counter
intervention measure, 25 out of 44 African countries and 14 out 17 Latin American countries
have introduced specialised tax systems.
There is no general or agreed consensus among the academic fraternity regarding the definition of
SMEs that adequately capture all the characteristic facets of SMEs regarding fundamental issues
including size, number of employees, annual turnover, accounting records and business
organisational set up (European Commission, 2008) The Informal SMEs have been defined by
OECD (2002) as unregistered operating units of households that continuously produce and
distribute goods and services using labour intensive processes and without adequate accounting
records The informal sector which employs the majority of the economically active population
contributing to the informal economy and informal employment is a serious challenge to policy
makers who lack the requisite data to improve legal, social protection and working conditions and
productivity in the informal sector activities through regulatory framework, advocacy, training,
access to credit and financial services (Pant and Suwal, 2009).
Numerous informal sector enterprises have suffered the fate being imposed a specialised tax,
normally referred to as presumptive tax, based on an aggregate assumption of the actual tax that
included sales, income and economic activity capacity (Bird and Wallace, 2003). The ever
Economics, Commerce and Trade Management: An International Journal (ECTIJ) Vol. 3
2. 2
growing informal sector worldwide (Bird and Zolt, 2008) currently constitute that largest share
of economic activity, and their informal nature greatly impacts negatively numerous government
s to effectively regulate and tap revenue .
Zimbabwe’s informal economy is arguably largely dominated by the informal sector enterprises
(non formal SMEs), who seem unrecognised despite their immense key contributions to the
formal economy in both public and private sectors various initiatives. These informal SMEs are
generally entrepreneurial owner financed and managed, but flexible and adaptive to the economic
challenges currently being encountered in the Zimbabwe economy. They do not have access to
formal lines of credit and financial services mainly due to their non-corporate nature and lack of
formal accounting record keeping practices that aid disclosure and accountability. The
manufacturing informal SMEs that were used in this study were those defined by the threshold of
International Labour Organization (ILO,2008) as HUEMs (Household Unincorporated
Enterprises whose primary objectives are to generate employment and the production of goods
and services on a regular basis for a country’s domestic consumption or exports. A study of
SMEs (formal and informal) is therefore critical given their immense contribution to individual
national accounting systems, economic systems, employment and poverty reduction. Access to
formal credit by SMEs is indeed critical, just like for larger corporate, for capitalization and
working capital requirements.
According to the Reserve Bank of Zimbabwe (RBZ, 2009), Zimbabwe SMEs are the principal
drivers of economic growth, employment creation, and wealth creation with a high skilled base
and complement the economic private and public sectors in the overall country development.
Africa and the rest of the World have also benefited immensely from SMEs in economic growth,
and employment creation accounting for some countries like Indonesia (98%), Japan (81%),
Thailand (78%) and OECD countries (50%) of productive workforce (RBZ, 2009). Inadequate
accounting record keeping practices of SMEs has taken a negative toll effect on the formal
financing models to SMEs in different sectors (RBZ, 2009).
The Reserve Bank of Zimbabwe (2006) revealed that although SMEs are an economic engine of
growth of the Zimbabwean economy, they are plagued with the key challenge of lack of access to
finance and formal credit in Zimbabwe and also the World at large mainly due to the obstacles of
negative perceived risks and lack of collateral. Additionally (RBZ, 2006) SMEs face challenges
operationally in terms of weak business structures, poor regulatory frameworks, and absence of
supportive institutional stakeholders.
The informal sectors in Harare, range from sole traders to informal enterprises dealing in the
mining, transport, flea markets, commodity broking and manufacturing. They contribute
immensely through the informal economy to the formal economy and the employment creation.
They also contribute directly through the payment of Value added tax (VAT), Intermediated
Money Transfer (IMM) and customs excise duty. Indirectly the informal sector contributes
mainly through presumptive tax.
1.1. Statement of the Problem
Poor record keeping and operating `informally` are challenges which serious affect the operations
of the informal sector. Due to this, the informal sector is struggling to formalise their operations
as a result of presumptive tax. How can the informal sector perform under such taxation systems?
The purpose of the study was to have an in-depth understanding of the taxation system in the
informal sector.
Economics, Commerce and Trade Management: An International Journal (ECTIJ) Vol. 3
3. 3
1.2. Objective
The objective of this study was to analyse the tax systems of informal sectors to its contribution
towards national revenue.
2. METHODOLOGY
The population of the study comprised of 60 (sixty) members from the informal manufacturing
industry and the informal retail shops. The study employed a mixed method approach. Purposive
sampling technique was used to select the 45 (forty-five) members who participated in the study.
Interviews with members of the manufacturing informal sector and surveys with informal retail
shop owners were the data collection tools used. A non-rated measure tax system was based on
target population.
3. DATA PRESENTATION, ANALYSIS AND DISCUSSIONS
The study wanted to find out how players in the informal sector understood tax presumption. The
following results were obtained:
Interviews data gathered with the informal sector players indicated that all informants indicated
they were aware of presumptive tax system which was used by the Zimbabwe Revenue Authority
(ZIMRA). One key informant says “Presumptive tax is a system used by ZIMRA. This tax
system is based on the assumptions of goods sold to the formal market by the informal sector”.
Data gathered through survey concurs with data collected from interviews. This shows that the
informants were aware of what presumptive tax system is all about.
According to African Development Bank (ADB, 2016), presumptive tax systems are based on the
fact that informal sector enterprises do not keep accounting records. Records which are in use
according to ADB are not adequate enough to use for taxation purposes. Hussmann (2004)
reiterates that there are current controversies and no agreed or general consensus regarding the
definition of the informal sector and concepts which have different meanings, interpretations and
viewpoints on the observations and measurement of the data. The major weakness of such a
definition is that it is country-specific, depending on the prevailing administrative, legal or
statistical framework; the sector will expand or contract with a change in the underlying yardstick
over time.
The study wanted to find out if the informal sector in Zimbabwe was willing to register with
ZIMRA. The following results were obtained:
N=45
Economics, Commerce and Trade Management: An International Journal (ECTIJ) Vol. 3
4. 4
Fig 1: Willingness of informal sector to register for taxation at ZIMRA
3.1. Source: Primary Data
SMEs virtually unanimously disagreed (88%) with strong disagreement (12%) with registration
with ZIMRA
Through data gathered through interviews, all informants indicated that the informants were not
willing to register with ZIMRA. When probed further, the informants indicated that it was not
necessary to register because there was no recognition by formal financiers. One informant said
“..............why should I bother to meet stringent requirements to get registered for no value
addition to my business?”
Basically, informal sector players in Zimbabwe were not willing to register. The main reason is
that there was no benefits out of the registration exercise with ZIMRA. This being the case, there
is no distinction between being registered or not.
Ghersi (1997) argues that SMEs manufacturers also referred to as Industries are classified mainly
into two (2) groups namely formal and informal SME manufacturers, the formal actors being
those formalize portions of their production for regulation and taxation purposes and the informal
actors who are unregulated and working in their homes or small workshops. The main criteria
widely adopted across the world for the classification of SMEs include: number of employees,
sales volume, financial strength, relative size, initial capital outlay and independent ownership.
Variations of this classification argument was also contended by Kalyani (2016) who argued that
the major characteristics of India’s unorganised/ informal SMEs are informal employer –
employee relations, workplace scattered and fragmented, employees in unorganised sectors, no
regulatory framework, easy entry/exit, illiterate and ignorance, minimum capital requirements,
labour intensive and manual equipment / machinery. The classifications criteria of SMEs are what
makes them Country specific, due to differences in country economic advantages, economic
systems, contributions to GDPs, Taxation thresholds, skilled labour force, legal framework,
political orientation and dispensation, regulatory frameworks and country economic groupings
like OECD, SADC, EU amongst others.
Economics, Commerce and Trade Management: An International Journal (ECTIJ) Vol. 3
5. 5
3.2. Findings
The study revealed that the ZIMRA`s presumptive tax system on the informal enterprises are
punitive in nature. However, the presumptive tax system complies with the understanding at
continental level. More to this, the study revealed that players in the informal sector were not
willing to register formally with the regulatory authorities.
4. RECOMMENDATIONS
The study recommended that presumptive tax must not be punitive and should not cripple the
operations of the informal sector.
The Ministry of Small and Medium Enterprise should provide incentives for registered informal
sector plays. This would motivate them to register and formalise their operation. By so doing, tax
collection system would be effective.
REFERENCES
[1] AFDB (2016) Addressing informality in Egypt. African Development Bank. 2016. Working paper
North Africa policy series. www.afdb.org
[2] Bird, R., & Wallace, S. (2003). Is it really so hard to tax the hard-to-tax? The context and role of
presumptive taxes (Joseph L. Rotman School of Management International Tax Program Papers No.
307). Retrieved from: https:// ideas.repec.org/p/ttp/itpwps/0307.html
[3] Bird, R., & Zolt, E. (2008). Tax policy in emerging countries. Environment and Planning C:
Government and policy, 26, 73–86. https://doi.org/10.17310/ntj.2000.2.07
[4] European Commission EU (2008) : (Enterprise and Industry Directorate-General). Final Report of the
Expert Group: Accounting System for small enterprises – Recommendations and good Practices.
November 2008.
[5] Ghersi, E (1997) The informal economy in Latin America. The Cato Journal 17(1), (Spring/Summer).
[6] Hussmann, Ralph (2004) :“Measuring Informal Economy: From Employment in the Informal Sector
to Informal Employment”, Working Paper # 53, International Labor Office, Geneva.
[7] IMF. (2007). Taxation of small and medium enterprises. Washington, DC: International Monetary
Fund.
[8] Kalyani M (2016) :Indian Informal Sector: an Analysis. International Journal of Managerial Studies
and Research (IJMSR) Volume 4, Issue 1, January 2016, PP 78-85 ISSN 2349-0330 (Print) & ISSN
2349-0349 (Online) www.arcjournals.org
[9] OECD, 2002. Measuring the Non-Observed Economy, A Handbook. Paris
[10] Pant D, B; Suwal, R (2009) : Measuring Informal Sector Economic Activities in Nepal. Paper
Prepared for the Special IARIW-SAIM Conference on Kathmandu, Nepal, September 23-26, 2009.
[11] RBZ (2009) : Supplement to the New Economic environment. Supplement to the January 2009
Monetary Policy Statement. Practical Advice and Policy Interventions to Support the Youth, Women
Groups and Other Vulnerable Members of the Society.
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