Humanities and Business Studies

Permanent URI for this community

https://repository.must.ac.tz/handle/123456789/30

Browse

Now showing 1 - 20 of 36

Annualized Stock Market Returns Volatility: An Evidence of Dar es Salaam Stock Exchange
(Tanzania Institute of Accountancy, 2022-12) Mwidege, Asheri .M.
Financial market players raise a concern about returns volatility anomalies. Yet, the day effects of stock market return instability in the Dar es Salaam financial market are not known. The present study, investigated the day effects on returns using time series data for the years 1998 through 2020. The return of market stocks was analysed using Win Rat and E-views. The results showed that the day of and the month of the year outcome existed in the return equation only with a constant decay rate (  + = 0 . 75 ) meaning that the unpredictability forecast reverts to its unrestricted mean at the proportion of 0.75 per transaction period. Moreover, it was found that the lowest monthly returns spread were observed for TCC and the highest for the whole market while the maximum and nethermost daily returns occurred on Wednesdays and Tuesdays, respectively. Furthermore, it was found that the positive January effect was observed in the market and monthly mean returns were positive with the lowest returns in December. The study concludes that that day’s effects impacted the market stock return caused by the volatility effect on returns. It is therefore recommended that rational investors should invest in the market for their future gains.
Assessment of Factors Affecting Implementation of Open Performance Review and Appraisal System: The Case Study of Mbeya University of Science and Technology
(Teofilo Kisanji University, 2019) Emmanuel, Samwel
Open Performance Review and Appraisal System (OPRAS) was established by the Government Establishment Circular No. 2 of July, 2004. Since then, there have been some challenges in its implementation. Institutions have tried to settle the challenges for OPRAS smooth operations. Despite of efforts put forth, the process still face some challenges. This has necessitated the assessment of factors affecting implementation of OPRAS, using Mbeya University of Science and Technology (MUST) as a case study. The specific objectives of this study were to examine employee understanding on objectives of OPRAS; investigate challenges experienced during implementation of OPRAS and assessment of employee’s perception on OPRAS as performance assessment tool. This study employed a case study design of which 84 respondents were randomly sampled to generate results. Data collection was done through structured questionnaires. The results were analysed using SPSS version 20 where, tables and figures were generated to present results. The study found that 72% of employees understood the objective of introducing OPRAS as a performance measurement tool for improving productivity, work efficiency, individual and team work and individual development. The challenges contributing to ineffective of OPRAS implementation noted included; inadequate feedback, lack of direct benefits, individual objectives were not understood, lack of training to implementers, failure to motivate good performers and failure to participate employees in setting objectives. On the use of OPRAS, 51% of the respondents had positive opinion. The study recommends that there should be regular training to enhance staff OPRAS understanding. Have in place friendly feedback mechanism to enhance staff viii commitment. There should be direct benefits associated with OPRAS to cultivate hard working culture and participation of staff in setting objectives to create sense of ownership
Assessment of the Effectiveness of Training and Development Programme In Social Security Providers A Case Of National Social Security Fund (Nssf)
(University Of Dar Es Salaam, 2008) Msangi, Saidi Mustafa
This study assesses the effectiveness of staff training and development programmes at the NSSF. The aim of the study was to establish how staff training and development needs were met and factors which hinder it and also how staff felt about the functions of Human resources department. Self-administered questionnaires were distributed to the NSSF staff including the heads of departments. Interviews with managers were also conducted. The study has uncovered that; there is lack of update training policy as well as training programme, there is no training evaluation which is carried out, training budget is inadequate, and there is an element of favouritism to some employees and lack of top management support towards staff training and development at NSSF. The major recommendations of the study are that: NSSF training policies, programmes and procedures should be clearly and authentically spelt out in a staff training manual to enable each employee become acquainted with them. Employees (trainees) should receive feedback from training evaluation. NSSF should work out strategies to accrue more funds for staff training function. Also, the criteria for sponsoring of training should be transparent.
Community Perceptions on Foreign Agricultural Investments in Iringa District, Tanzania
(Moshi Co-operative University, 2019) Matiku, Stephano
This study assessed the community perception on foreign agricultural investments in Iringa District. Specifically, the study sought to establish the level of community awareness on current investor; identify community perceptions on investor’s activities, identify community expectation and assess the implementation of investor’s CSR in community. The study used a case study design where four Villages adjacent to STL: Ihemi, Ifunda, Bandabichi, and Muwimbi were purposely selected. The primary data were randomly collected from 99 community members using questionnaire, focus group discussions, in-depth interview and key informants. Quantitative data were analysed by descriptive statistics (frequencies and Percent). Qualitative data were analysed using content analysis. Study findings showed that the community was aware of the current investor and investor’s activities; community has negative perceptions toward STL activities. It was also admitted by the community that their expectations had not been met effectively. Furthermore, it was found out that the community has negative perception on how STL implement CSR. It was concluded that community members have negative perceptions on foreign agricultural investment, since they are not involved effectively in such activities. The study recommends that there is a need for the central government to take a number of specific measures to increase the involvement of communities in decisions over foreign agricultural investment. Also, STL should realize that many successful foreign investors work under circumstances endorsed and supported by the host community such as enhancing the technical knowledge, fair and adequate remuneration, and training for employees and should involve out-growers farmers.
Determinants Of Entrepreneurial Intentions Of Graduates: An Evidence Of Mbeya University Of Science And Technology, Tanzania
(International Journal of Research in Social Sciences, 2014-08) Mwidege, Asheri .M.; Rogath, Herieth; Ngimba, Christopher; Sanga,Abbas
It’s argued that, university graduates have enormous potential for entrepreneurial and economic development. However, little information is available on how competence based education training (CBET) systems has a likelihood to alleviate the problem of graduates being job seekers. Therefore, this study assessed the perceived entrepreneurial skills empowerment for self employment of students. This study was conducted at Mbeya University of Science and Technology and experimental research design was employed. Stratified proportionate simple random and purposive sampling was used. Closed ended questionnaires were used to collect data in which 352 students were interviewed. Descriptive and quantitative estimation were methods for data analysis by using SPSS and STATA. Findings showed that students’ level of study, mothers’ occupation, knowledge to solicit funds, frequency of attending short courses had significant influence on students’ perceived self employment. Based on these results, it is concluded that level of study and knowledge to solicit funds had strong influence on self employment of students after their graduation. Therefore, it is recommended that the University should ensure that students have access to financial sources so as to become self employed and job creators.
Does Tanzania Social Action Fund intervention a panacea to food insecure vulnerable rural poor people?
(International Journal of Research in Social Sciences, 2014-08) Mwidege,Asheri .M.; Mlambiti,M.E.; Damas, P.
Development intervention is increasingly reported as a means of improving the livelihoods of the vulnerable poor people. However, little information on what could have been happened if there could be no intervention is available. This study was conducted to assess the livelihood impact of Tanzania Social Action Fund intervention in Agriculture for vulnerable communities in Makete and Rungwe Districts. This research examined whether intervention in food security is a panacea for the vulnerable communities. A quasi-experimental design was used to collect a sample of 239 and 115 recipient and non-recipient households and triangulation approaches were employed, respectively. Paired t-test, chi-square test and phi-coefficient were used to ascertain the significance of the means of differences, comparing sample variance and strength of relationship between qualitative variables, respectively. Results showed that recipients were food insecure than non recipients. Based on these findings, it is concluded that intervention on food security through participation is not a panacea to vulnerable communities. Therefore, it is recommended that intervention should be on prevention basis rather than coping strategies.
Effect of On-the-Job Training on Employee Performance: Insights from Tanzania’s Public Service Management and Good Governance Office
(NG Journal of Social Development, 2024-11-14) Kisokola,Editha M., Matimbwa,Hadija M. Kamala,Mugisha
On-the-job training is widely regarded as a critical factor in enhancing employee performance and organizational productivity. It equips employees with practical skills and knowledge relevant to their roles, fostering efficiency and effectiveness in service delivery. The study examined the effect of on the-job training on employee performance at the President’s Office Public Service Management and Good Governance (PO-PSMGG) in Dodoma. Utilizing a pragmatic philosophy and a mixed methods research approach, data were elicited from 189 respondents and five key informants through questionnaires and interviews. The research employed simple random sampling to select respondents, and the data were subsequently analyzed utilizing frequencies, percentages, multiple linear regression, and content analysis. The results revealed that coaching has a positive yet minimal effect on employee performance, characterized by a coefficient of 0.059 and a significance level of 0.032. Conversely, mentorship emerges as a significantly more robust contributor to performance enhancement, with a coefficient of 0.304 and a highly significant p-value of 0.000. In contrast, job rotation exhibits a negative impact, reflected by a coefficient of -0.069 and lacking statistical significance. This study concludes that mentorship is the most influential factor among the three variables analyzed, significantly improving employee performance. Job rotation appears to have a negligible and potentially adverse effect on performance. The study recommends that organizations invest in comprehensive coaching programs, establish formal mentorship initiatives, encourage job rotation practices, and consistently assess the effectiveness of coaching, mentorship, and job rotation strategies. These measures should ensure alignment with organizational goals while effectively addressing the needs of employees.
Effectiveness of The Human Resources Planning in Higher Learning Institutions: The Case of Mbeya University of Science and Technology.
(OUT, 2015) Egina, Judith Ghati
The study was aimed to examine the determinant factors in the effectiveness of Human Resources Planning in the higher learning institution, taking Mbeya University of Science and Technology as the case study. The study also wanted to identify methods of Human resource planning. The study also wanted to establish whether existing human resources planning methods have been effective in acquisition and retain staff. Lastly to analyze challenges facing human resources planning. This was a case study and quantitatively research was used. To get primary data respondents were selected randomly and purposively for the case study and data was collected through administrating structured questionnaires. Interviews were conducted. For secondary data document review was used. Data was coded, edited and analyzed. The study found that judgmental, forecasting, trend analysis, replacement and ratio are methods which MUST be applied in human resources planning. But also, it was found that financial constraints, technology, lack of expertise and the incapability of the staffs, and workforce diversity are challenges which influence human resource planning. Also, the study found that to a large extent human resource planning is effective at the Mbeya University of Science and Technology. So, it is recommended that to put more emphasis on human resources planning so as ensure University goals are achieved.
Effects of cost sharing on University students’ academic performance at Teofilo Kisanji University in Mbeya City, Tanzania
(International Journal of Research in Social Sciences, 2014-08) Mwachande,Itiha; Mwidege, Asheri .M.; Rogath,Herieth
In the early 1990s, Tanzania re-introduced a policy of students’ university education cost sharing, aimed at reducing financial support in higher learning institutions. However, little information is available on effects of cost sharing on academic performance. Therefore, this study investigated the effects of cost sharing on university students’ academic performance. The study used experimental approach in which stratified random and purposive sampling plans were used to select units for study. Cross sectional data in which a sample of 105 University students and Lecturers from Teofilo Kisanji University and parents were interviewed. Both, open and closed questionnaires were used to collect data through interview schedule and descriptive analysis approach was used. The present study findings showed that cost sharing in universities had negative effect on academic performance. Therefore, it was recommended that, the government should finance or subsidize university tuition fees for those students engaged in higher learning institutions.
Effects of Innovation on Business Performance: Empirical Evidence from Manufacturing Firms in Tanzania
(Tanzania Institute of Accountancy, 2022-12) Mwaifyusi,Hussein.A.; Dau,Ramadhani.K.
Regardless of its relevance for business performance, the influence of innovation on the performance of manufacturing firms in Tanzania is not well documented. Thus, this study aimed to examine the effects of innovation on business performance of manufacturing firms in Tanzania. The study used cross-sectional design and quantitative approach. Copies of a structured questionnaire were administered to 420 participants from 28 manufacturing companies in Dar es Salaam and Coast Regions. An impressive response rate of 93.1% was achieved. Data were tested for reliability using Cronbach’s alpha coefficient. Tests for normality, multicollinearity and autocorrelation were conducted, and the results showed the data were reliable, normally distributed, free of multicollinearity and autocorrelation problems. Descriptive and multiple regression statistical techniques were employed. The results suggested that a significant positive effect existed between performance of manufacturing firms and product innovation (B=0.705, p=0.001), process innovation (B=0.640, p=0.000) and marketing innovation (B=.818, p=0.000). The obvious implication to industry is that innovation is important to business success of the manufacturing companies, thus the governments should motivate firms to innovate continuously by giving incentives to invest in R&D. Past studies linking innovation and performance have focused on financial measures of performance. The major contribution of the current study is to use non-financial measures of performance such as business growth and responsiveness to change
Enhancing Organizational Performance through Human Resource Incentives: Insights from TANESCO Dodoma, Tanzania
(Mbeya University of science and Technology, 2025-03-01) Mwinuka, Thomas; Matimbwa, Hadija; Kamala, Mugisha
Human resource incentives are crucial for enhancing organisational performance by boosting employee motivation, satisfaction, and performance. A study at TANESCO Dodoma analysed the effects of financial incentives, staff training, and employee recognition using a quantitative methodology and explanatory cross-sectional design. This research provided insights into the immediate effect of these incentives on organisational performance and the overall effectiveness of the employees at TANESCO Dodoma. A study was conducted with 187 employees from TANESCO Dodoma, selected through simple random sampling to ensure representativeness. Data was collected through structured questionnaires to assess employee perceptions and attitudes on the incentives and analysed using multiple linear regression techniques, yielding significant findings. The results indicated a significant positive relationship between various incentives and organisational performance. Specifically, the findings indicate that staff training is the most significant factor in improving performance, with a p-value of p < 0.001. Financial incentives follow closely, showing a notable impact with a p-value of p = 0.01. While staff recognition also plays an important role, its effect is comparatively smaller, with a p-value of p = 0.022. The study highlights the crucial role of human resource incentives at TANESCO Dodoma in driving organisational performance. This study provides context-specific evidence on the contribution of human resource incentives, particularly in a Tanzanian public sector setting, which has received limited attention in prior research. The study recommends optimising financial incentives to boost employee motivation and performance, expanding training programs to enhance skills, and implementing recognition practices to reward exceptional contributions. These strategies emphasise the need for continuous investment in human resources to support sustainable growth and success
Entrepreneurial Abilities of Technical Graduates and their Self-Employability in Tanzania
(African Journal Of Accounting And Social Science Studies, 2022-06-30) Charles, Raphael; Kipene,Visent
Entrepreneurship education is imperative for economic development and new economic strategies for fostering and generating jobs creating entrepreneurs. This paper therefore assesses the influence of entrepreneurial abilities on self employment among technical graduates in Tanzania. It specifically identifies the entrepreneurial skills acquired by technical graduates from technical institutions and examined the influence of identified entrepreneurial skills on self-employment among the technical graduates in Tanzania. This study was approached quantitatively based on explanatory survey design. Data were collected using questionnaire from 350 technical graduates sampled using stratified simple random technique. The collected data were analysed using Multiple Linear Regressions. The findings show that to a great extent graduates from colleges and universities acquire technical entrepreneurial skills; business management and to a small extent personal entrepreneurial skills. The findings show further that business management was ranked highly as the leading entrepreneurial skill for self-employment among technical graduates. All three entrepreneurial skills were found to have positive and significant influence on self-employment among technical graduates in Tanzania. The study recommends that colleges, institutes and universities should emphatically inculcate all the entrepreneurial skills to students as they have significant contributions to graduates self-employment.
Extension Service Delivery following Marketing Approach for Maize Productivity in Morogoro and Dodoma Regions
(Mbeya University of Science and Technology, 2020) Raphael Charles
Agricultural extension service is one of the strategies specified in the Agricultural Sector Development Strategy (ASDS) I and II for successful productivity of Agricultural sector in Tanzania. The ASDS I and II emphasize on delivering extension services to farmers using marketing approach. The extent to which extension service are provided to farmers using marketing approach is not yet scholarly established. This study therefore evaluates the extent to which extension services are delivered to maize farmers following marketing approached-based skills in Morogoro and Dodoma Region. The study also determines the influence of marketing approached based skills on maize productivity. The study quantitatively employed descriptive and explanatory survey designs. The data were gathered using questionnaire from 500 farmers who were sampled through stratified simple random technique. The gathered data were analyzed using Descriptive Statistics and Multiple Linear Regressions. that the findings revealed that, extension services are delivered to maize farmers to some extent using marketing approach-based skills; but to a large extent the services are delivered on pure agricultural skills. Furthermore, the marketing approach-based skills were found to have positive and significant influence on maize productivity. It is therefore recommended that, the government and other stakeholders through their respective extension agents should emphatically provide pure agricultural skills in conjunction with marketing approach-based skills to maize farmers.
Financial Management Practices on Growth of Business Enterprises in Mbinga District, Tanzania
(Mbeya University of Science and Technology, 2024-09-30) Mwidege, Asheri M.; Nyigu, Christopher
A robust financial management system forms the foundation for business growth and long-term survival. However, there is limited information on the financial management practices that contribute to business growth in the Mbinga district. This study examined financial management and working capital management practices. A semi quasi experimental research design was employed, utilizing questionnaires distributed to a sample of 62 business owners. Descriptive statistics were analyzed using the SPSS package. The results indicated that 41.9% of business enterprises employed working capital management practices, while 24% used capital structure management practices. Financial management practices were found to enhance management efficiency with a mean score of 3.74, increase the availability of capital with a mean score of 3.61, and improve operational margins with a mean score of 3.56. The study concluded that financial management practices are crucial for business growth and recommended their implementation. The study also found that capital structure management practices were applied to a lesser extent, although businesses showed an understanding of balancing debt and equity for financial sustainability. These findings suggest that the effective implementation of financial management practices is crucial for the growth and performance of businesses in the district. The study concludes that the integration of sound financial management practices contributes to better financial decision-making, risk mitigation, and resource optimization, leading to business expansion and sustainability. From a policy perspective, the study recommends that regulators and stakeholders encourage firms to leverage debt financing due to its associated tax benefits and advantages for financial sustainability. Theoretically, the findings underscore the relevance of agency theory in understanding the dynamics between managers and shareholders, and the principle of optimal capital structure in maximizing firm value. These insights provide a foundation for future research and practical interventions aimed at improving financial management practices in similar contexts.
Human Capital Management Information System: Scope of Application and Challenges Facing the Public Sector in Tanzania
(Regional Institute of Information and Knowledge Management, 2024-04) Matimbwa,Hadija; Olatokun,Wole
Rationale of Study – Human Capital Management Information Systems (HCMIS) play a crucial role in facilitating decision-making within Human Resources Management by providing fast, accurate, and comprehensive data. To understand the landscape of HCMIS implementation and challenges within the public sector of Tanzania, this study conducted a systematic review of policies, legislation, and scientific literature. Methodology – The study assessed the extent of HCMIS utilisation in the Tanzanian public sector and examined associated challenges using the task-technology fit model. To analyse the gathered data, a systematic qualitative synthesis employing nomothetic-based content analysis was used. Findings – The analysis revealed that HCMIS usage in the public sector primarily focused on payroll management, with additional applications in employee information management, recruitment and selection, performance management, training and development, benefits administration, analytics and reporting, and succession planning. The five key challenges hindering HCMIS applications were also identified. Implications – The study recommends expanding the scope of HCMIS applications, improving interdepartmental coordination, ensuring adequate and consistent budget allocation for the acquisition of HCMIS accessories by Ministries, Departments, and Local Government Authorities (MDAs and LGAs), fostering greater support from top management to enhance HCMIS operations, and revising ICT and HR programme curricula in higher educational institutions to incorporate specialised courses in HCMIS operations. Originality – This study contributes to the existing literature by providing a comprehensive examination of HCMIS implementation and challenges within the Tanzanian public sector. The findings offer valuable insights for policymakers, practitioners, and academia.
Impact Assessment of Tanzania Social Action Fund intervention on Socio-economic Status of Vulnerable Groups
(International Journal of Management Sciences., 2014-01) Mwidege, Asheri .M.
It is argued that globalization has increased the variability in socio-economic status of the vulnerable poor people. Although, development intervention is gradually reported as a panacea of the needy people, however little information based on appropriate methodological approach is available. This study was conducted to assess the livelihood impact of Tanzania Social Action Fund intervention on rural vulnerable groups in Makete and Rungwe Districts. This particular research analysed the impact of productive assets created on socio-economic activities of the recipients after intervention. A sample of 239 recipients and 115 non-recipients were collected through a stratified cross sectional quasi-experimental design. An instrumental variable / two stage least square approach was used to analyze cross-sectional data. Results showed that participation had positive significant effect (p<0.05) on socio-economic status. Based on these findings, it was concluded that involvement of target poor people in the established assets enhanced their socio-economic status.
Influence of User Characteristics on the Effectiveness of LGAs’ Human Resource Information System in Tanzania
(G-CARD, 2023) Matimbwa, Hadija; Olatokun, Wole
The implementation of the Human Resource Information System (HRIS) in Local Government Authorities (LGAs) in Tanzania aimed at addressing shortcomings of methods in managing employee’s information. The shortcomings primarily involved outdated data concerning civil servants. This study explored how user characteristics impact the effectiveness of HRIS in Tanzanian LGAs, specifically focusing on information timeliness, completeness and accuracy. The study covered Mwanza, Arusha, Dodoma, Morogoro, Iringa and Kagera Regions. A questionnaire and an interview guide were used for data collection from 213 participants sampled form 249 HR stakeholders. A total of 201 respondents participated in the study. An ordered logistic regression model was employed for data analysis. The findings revealed that user characteristics such as IT skills, commitment and experience have an influence on the HRIS effectiveness. Therefore, it is crucial to prioritize IT skills training to foster commitment among HRIS staff and promote knowledge sharing among in order to ensure successful implementation of HRI within the LGAs.
Knowledge and Skills of Caregivers in Managing Psychological Symptoms of Orphaned Children in Tanzania: The Case of Mbeya Cit
(University of Iringa, 2016) Makyao, Beatrice
The purpose of the study was to examine knowledge and skills of caregivers in managing psychological symptoms of orphans in orphanage centres in Tanzania. The study was conducted in Mbeya region in four registered orphanage centres. The study was guided by four objectives which include: to identify circumstances that led to orphanage; to examine psychological symptoms of orphans, to assess knowledge of caregivers in managing psychological symptoms of orphans, and to examine skills caregiver have in working with orphans‟ psychological symptoms. The study employed mixed methods where quantitative and qualitative approaches were both used for data collection and analysis. Data was obtained from a sample of 102 in which 80 respondents were orphans, 18 were caregivers and 4 orphanage administrative members. Data was collected through questionnaires and interviews. Questionnaires were derived from Child and Adolescent Symptoms Checklist, Tyelor Anxiety scale and Rosenberg Self-esteem Scale and applied to orphans. Questions for interviews were constructed from Caregiver discussion guide and applied to caregivers. Quantitative data was analysed by the use of Statistical Package for Social Sciences (SPSS) and qualitative data used theme analysis method. The findings revealed that majority of orphans ranges from 9 – 12 (41%) years, and Majority of caregivers were in age range between 20 and 30 (55.6%). The major circumstance that led orphans to orphanages was death of parents. The findings, however, show that a certain percentage of orphans pass through psychological symptoms of depression, anxiety and self esteem while others could not show any psychological symptoms. It was also found that caregivers have inadequate knowledge and skills which are necessary in working with orphans. It is suggested that experience is not sufficient in management of orphans‟ psychological challenges; orphanage management is required to organise and conduct seminars and workshops
Learners’ Attitudes and Practices towards Learning Communication Skills: The Case of Ordinary Diploma in Science Programmes
(The University Of Dodoma, 2019) Nsyengula, Stephen
This study investigated the learners’ attitudes and practices towards learning communication skills among ordinary diploma students of science programmes. The study involved a sample of 112 respondents, 62 from MUST and 50 from ATC. A cross-sectional research design was employed coupled with qualitative and quantitative approaches. Data were collected through questionnaires, interviews, observations and documentary review. Further, eight (8) classroom observations were made to collect data at the natural settings. The prospectus, examination scripts, copies of past papers, teaching schedule and instructors’ teaching load distribution for the first semester 2018/2019 were reviewed at the institutions. Quantitative data were analysed using Statistical Package for Social Sciences (SPSS) version 20 while qualitative data were analysed thematically. The findings revealed that the majority of diploma students have positive attitudes towards learning communication skills. Female students were more positive than male students. Moreover, the first and third-year students showed more positive attitudes than second-year students. Even though communication skills course is offered at the institutions, students demonstrated weakness in using English which is the language of communication in the institutions. Several practices limited students’ learning of communication skills. These include class size, scarcity of instructional materials and teaching methodology. Thus, students’ attendance in class and communication proficiency were affected. It is suggested that a pedagogical review is made to improve the teaching and learning of the course. Instructional materials and size of the class should be considered to enhance students’ acquisition of the required skills
Performance of Vat System in Tanzania Since Enactment of The Vat Act in 2014
(Tanzania Institute of Accountancy, 2022-12) Nguvava, Heriel .E.; Athanas, Noah .N.
The 2014 Value Added Tax (VAT) reforms focused on reduction of the base alterations and broadening the tax base and also dealt with several legal drafting issues to enhance the effectiveness of the new VAT law with hopes of enhancing revenue collection. The objective of this article is to assess the performance of VAT system in Tanzania in terms of tax payer’s registration and collection efficiencies. This study adopted a quantitative paradigm whereby data were analysed quantitatively through descriptive statistics and ratio analysis for efficiency measurement. Only secondary data were used in this study. The sources of data were reports from the Tanzania Revenue Authority (TRA), the National Bureau of Statistics (NBS), the World Bank (WB), IMF and peer-reviewed journal articles on relevant subject matters. The study revealed a total of 4,575 taxpayers who were eligible to be registered for VAT but who were not captured by the VAT tax system by January 2022. As a result, the government is estimated to have lost about TZS 23,350.09 billion during that period. Furthermore, it was found that the contribution of VAT to GDP is 3.6 per cent which is below the country’s expectation threshold of 6 per cent annually and is below the East African Community member states’ average of 4.4 per cent. Both the VAT Efficiency and C-efficiency ratios were not performing well; their averages were 21.9 and 20.7 per cent respectively, below the EAC regional average of 25 per cent. It is recommended to the government to increase VAT registration threshold and reduce the VAT rate. TRA is urged to decentralize the registration of VAT taxpayers to regions so as to improve compliance and administrative efficiency. The study further recommends to TRA to audit the 4,575 taxpayers whose turnovers are above TZS 100 million but are not yet registered and captured within the VAT tax net.

Browse

Browsing Humanities and Business Studies by Title

Results Per Page

Sort Options