The reform of the tax system in Swaziland

Ayoki, Milton (2017): The reform of the tax system in Swaziland.

Abstract

This paper documents the tax reforms implemented in Swaziland since the 1990s and how they have contributed to revenue collection. Reforms have had a major impact on collection of indirect taxes (especially VAT) but no clear impact on receipts of direct taxes and trade taxes. Despite efforts to broaden the tax base, tax collection is still heavily concentrated on very few sources, with SACU receipts alone accounting for more than one-half of total revenue. Growth in revenue collections from direct taxes on income and profits, and indirect taxes on goods and services remain substantially too low to compensate for the loss in import tariff revenues.

• Item Type: MPRA Paper
• Language: English
• Keywords: Tax Reform, Tax System, Tax Administration and Policy, Swaziland
• Subjects: H - Public Economics > H2 - Taxation, Subsidies, and Revenue > H20 - General; H - Public Economics > H2 - Taxation, Subsidies, and Revenue > H24 - Personal Income and Other Nonbusiness Taxes and Subsidies; H - Public Economics > H2 - Taxation, Subsidies, and Revenue > H27 - Other Sources of Revenue

References

ATAF (African Tax Administration Forum). 2016. African Tax Outlook 2016 (First Edition 2016), mimeo, ATAF.

Ayoki, Milton. 2007. “Tax Administration in Poor Countries: Country Report, Uganda”, IPRA Working Paper 34, Institute of Policy Research and Analysis, Kampala, December 2007, Revised, January 2018.

Ayoki, Milton. 2007. “Tax Performance in Poor Countries: Country Report, Uganda”, IPRA Working Paper No. 21, December 2007, Revised, January 2018.

Ayoki, Milton. 2011. “Small is beautiful but vulnerable: the Swazi economy aftermath of the global financial crisis”, IPRA Working Paper 34, Institute of Policy Research and Analysis, Kampala November 2011, Updated December 2016 and MPRA Paper 81504, University Library of Munich, Germany, revised Dec 2016.

Ayoki, Milton. 2011. Swaziland’s Fiscal Policy: The Choices Ahead, IPRA Working Paper 35, Institute of Policy Research and Analysis, Kampala, December 2011 and MPRA Paper 82058, University Library of Munich, Germany.

Ayoki, Milton & Obwona, Marios & Ogwapus, Moses, 2008. "The Revenue Effects of Uganda’s Tax Reforms, 1989-2008," MPRA Paper 78842, University Library of Munich, Germany.

IMF (2014) Kingdom of Swaziland: 2014 Article IV Consultation, IMF Country Report 14/223, Washington, DC.