The Rwandan government, in collaboration with the revenue body Rwanda Revenue ₓ000D_ Authority (RRA), started digital transformation in 2012 to enhance tax administration ₓ000D_ efficiency and contribute to the national development goals. Despite these steps, issues such ₓ000D_ as tax evasion, late filings and payments, unstable network infrastructure, and low computer ₓ000D_ application proficiency among taxpayers continue to exist. The combination of challenges ₓ000D_ faced by the RRA alongside mistakes in tax payments, tax evasion and tax avoidance threats ₓ000D_ limit the RRA from getting optimal revenue collections. This study was motivated by these ₓ000D_ challenges and it sought to investigate the contribution of e-tax system on tax collection in in ₓ000D_ Rwanda a case study Rwanda Revenue Authority. ₓ000D_ The study employed secondary data covering the periods prior (1998-2011) and after ₓ000D_ (2012-2022) the implementation of the e-tax system and primary data collected via ₓ000D_ questionnaires through stratified random sampling technique to ensure representation across ₓ000D_ different taxpayer categories and RRA staffs; thus, 150 taxpayers and 50 tax officers were ₓ000D_ selected for this study, mixed-methods approach that combines quantitative and qualitative ₓ000D_ research techniques were used. To analyses data collected statistical techniques were used to ₓ000D_ access the relationship between the electronic tax system and tax collection outcomes and ₓ000D_ qualitative analysis of interview and open-ended survey responses to explore perception and ₓ000D_ implementation challenges. ₓ000D_ The Statistical Package for Social Sciences (SPSS) was used in the regression analysis and in ₓ000D_ calculating the results. The findings were presented through tables and the discussion ₓ000D_ thereafter. The aim of results was to find out the degree to which the electronic tax system ₓ000D_ assists in the tax collection. The multiple linear regression analysis to assess the combined ₓ000D_ contribution of the electronic tax system on tax collection by considering three variablesₓ000D_ including two independent variables such as Technical Skills to use e-tax system, Perception ₓ000D_ on e-tax, and Tax collection as the dependent variable was used. ₓ000D_ The findings established that the implementation of e-tax system had very important positive ₓ000D_ effect on tax revenue collection. These results, however, provide the basis for emphasizing ₓ000D_ the need to educate taxpayers, both small and medium, as well as Large taxpayers on the role ₓ000D_ of perception and technical skills in the use of e-tax systems on the tax collection ₓ000D_ efficiency. Knowing specifics on these aspects, the government can be able to collect tax ₓ000D_ revenue more cost effective. To sum up, through the use of the obtained results, the decisions ₓ000D_ makers can put forward the specific policies that will improve tax administration systems ₓ000D_ and consequently improve the revenue proceeds collection.
KANYABWIRA Jean Claude (Thu,) studied this question.