Effect of Excise Stamps On Monitoring Tax Revenue in Kenya; a Case of Spirit Manufacturers in The Large Tax Payers Office
| dc.contributor.author | Marangu, Linstrom Kinoti | |
| dc.date.accessioned | 2019-09-12T13:01:06Z | |
| dc.date.accessioned | 2022-06-07T06:51:44Z | |
| dc.date.available | 2019-09-12T13:01:06Z | |
| dc.date.available | 2022-06-07T06:51:44Z | |
| dc.date.issued | 2018 | |
| dc.description.abstract | Tax monitoring and revenue is of great importance to a country especially a country like Kenya which is highly dependent on tax revenue. The Kenya Revenue Authority introduced the use of stamps under its EGMS, which kicked off three years ago, as part of a wider scheme to combat illicit trade, seal revenue leakages and boost collection. “In order to ensure compliance, licensed manufacturers and registered importers of the affected products are advised to facilitate KRA’s technical teams to access the production lines for purposes of determining installation requirements”. The study sought to determine the effect of excise stamps on monitoring tax revenue in the alcohol industry in Kenya (case of spirit manufacturers in the large taxpayers’ office). The specific objectives are to determine the effect of demand of excise stamps on monitoring tax revenue in Kenya. To evaluate the effect of counterfeiting of excise stamps on monitoring tax revenue in Kenya. To assess the effect of declaration of excise stamps on monitoring tax revenue in Kenya. Lastly, to analyse the effect of enforcement on usage of excise stamps on monitoring tax revenue in Kenya. Ability to Pay Theory, Optimal Tax Theory and Theory of Tax Evasion were utilized in the study. The target population consists of all the firms in the large taxpayers’ office which are 6 in number. Purposive sampling was used where ten respondents from each firm in the large taxpayers’ office and the head of large tax payer office in the Kenya Revenue Authority (KRA) made up the sample of the study. Therefore, the sample size of the study was 61. The study was be based on descriptive research design. The research instrument of the study was questionnaire where closed ended questions were utilized. The reliability and validity of research instrument was ensured before the analysis of data. The data analysis of the study was based on descriptive and inferential analysis. Multiple regression model was be utilized in the inferential analysis of the study. The study established that the demand for excise stamps has a positive and significant effect on the monitoring tax revenue in the alcohol industry in Kenya. Also, the study showed that counterfeiting of excise stamps significantly affects the monitoring of tax revenue in the alcohol industry in Kenya. Furthermore, the analysis of study revealed that declaration of excise stamps significantly affects monitoring of tax revenue in the alcohol industry in Kenya. Lastly, the study provided evidence of a significant effect of enforcement of usage of excise stamps on the tax revenue monitoring in the alcohol industry in Kenya. The study recommends that government should come up with more effective measures relating to demand of excise stamps and monitoring of tax revenue as this will in turn enhance tax revenue. Also, government should come up with unique excise stamps as this will make counterfeiting difficult. This will ultimately discourage such practices and increase tax revenue. Government should come up with more effective tax monitoring system as this will also boost tax revenue. Lastly, the government of Kenya through the Kenya Revenue Authority should encourage the use of excise stamps as this will greatly impact on tax revenue. The study suggests that further research can be done on Spirit Manufacturers in the small tax payers office. Similarly, further studies can be carried out in the other sectors of the Alcohol industry. Lastly, further research can focus on tax payer education and monitoring of tax revenue in the large tax payers office. | en_US |
| dc.identifier.uri | https://ikesra.kra.go.ke/handle/123456789/122 | |
| dc.language.iso | en | en_US |
| dc.publisher | KESRA/JKUAT - Unpublished research project | en_US |
| dc.subject | Excise Stamps | en_US |
| dc.subject | Manufacturers | en_US |
| dc.title | Effect of Excise Stamps On Monitoring Tax Revenue in Kenya; a Case of Spirit Manufacturers in The Large Tax Payers Office | en_US |
| dc.type | Article | en_US |