Authors: Innocent Nyamfulula; Cornel Joseph; August O. Kessy; Elly H. Mloso
ISSN: 2709-8575
Affiliations: Institute of Tax Administration, Tanzania Revenue Authority; Mkwawa University College of Education, University of Dar es Salaam; Institute of Tax Administration, Tanzania Revenue Authority; Institute of Tax Administration, Tanzania Revenue Authority
Source: African Multidisciplinary Tax Journal, Volume 5, Issue 1 (2025), p. 296–310
Abstract
This study examined the Electronic Tax Stamps (ETS) System’s role in revenue collection in Tanzania with a focus on cigarettes, beer and spirits. The results from a trend analysis show an increase in respective revenue in the immediate period after the introduction of the ETS system. Moreover, the estimated results from the regression with Newey-West standard errors show that the coefficient associated with the ETS is positive and statistically significant. Thus, the study concludes that ETS plays a critical role in improving excise revenue performance and fostering a more transparent and efficient fiscal system in Tanzania. The government and policymakers should continuous improvement of the ETS system so that it can contribute significantly to revenue collection. Also, the ETS System should be backed by a well-designed system of enforcement so as to realize a more positive contribution to revenue collection.