Factors affecting revenue performance in Uganda : evidence from Uganda Revenue Authority
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This study sought to assess the factors affecting revenue performance in Uganda. The study was premised on three objectives; to analyze the tax revenue performance at Uganda Revenue Authority, to assess the barriers towards revenue performance of Uganda Revenue Authority, and to find out the measures to improve revenue performance in Uganda Revenue Authority. To achieve these objectives, the study employed an exploratory research design. Data was collected using an interview guide from several middle level and top-level managers at URA. The research findings were mixed; while some said the performance was good, others admitted it was average. Furthermore, the findings cited different barriers ranging from inefficient government systems, lack of public trust, lack of political will, narrow tax base, low levels of tax knowledge, corruption, large informal sector, tax evasion, to political interference. The study also discovered that developing technological infrastructure, increasing funding for URA, pushing for legislative reform, funding tax education initiatives, digitalizing the economy, establishing international tax units, reforming URA human resource policies, and supporting innovations could enhance revenue performance. The study recommended that should modernize the e-tax system so that different modules within e-tax, penalize taxpayers who submit incorrect information when filing a tax return, put in place a strict mechanism to ensure that digital companies comply with the provisions of the VAT Act and that the Ministry of Finance should ensure that URA has complete autonomy and hold the authority accountable to a set of performance measures that have been agreed upon.