Comparative Study of the Use of Tax Management Information Systems between Zanzibar and Tanzania Mainland

Abstract

Tax Management Information Systems (MIS) are crucial for efficient tax administration, enhancing efficiency, transparency, and governance. This study aimed to compare the use of Tax MIS in Tanzania mainland and Zanzibar, focusing on the Integrated Tax Administration System (ITAS) and Integrated Tax Administration System (ITAX), respectively. The study's goals were to identify key factors facilitating effective Tax MIS use and to improve its usage in Zanzibar. Using a mixed comparative descriptive design based on the Technology-Organization-Environment framework, data were collected from 108 participants through questionnaires and interviews. Descriptive analysis was performed using SPSS for quantitative data and thematic analysis for qualitative data. Key findings indicated that system availability, compatibility, and top management support are essential for effective Tax MIS use. However, significant differences were observed between Zanzibar and Tanzania mainland, with Zanzibar's Tax MIS still in its early stages, lacking full automation in some processes. To improve the usage of Tax MIS in Zanzibar, the existing process should be redesigned and integrated into the system, the management should encourage their staff in using the system by being champion users and providing training and incentives. In addition, the Tax MIS infrastructure should be improved.