1

THE DETERMINANTS OF TAXATION COMPLIANCE IN TANZANIA:

THE CASE STUDY OF SOLE TRADERS IN MOSHI MUNICIPALITY

ZUHURA ALLY RAJAB.

Bachelor of Arts in Accounting and Finance (BA-AF)

Moshi Cooperative University (MoCU)

August, 2021
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THE DETERMINANTS OF TAXATION COMPLIANCE IN TANZANIA:

THE CASE STUDY OF SOLE TRADERS IN MOSHI MUNICIPALITY

BY

ZUHURA ALLY RAJAB

A Research Report Submitted in Partial/Fulfillment of the Requirements for the Award of

Bachelor of Arts in Accounting and Finance of Moshi Co-operative University.

August, 2021
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DECLARATION AND COPY RIGHT

I, Zuhura Ally Rajab, declare that this report is my own original work and that it has not been
presented and will not be presented to any other higher learning Institution for a similar or any
other academic award.

Signature……………………..………………………Date……………………..……………………………

This Report is copyright material protected under the Berne Convention, the Copyright and
Neighboring Rights Act of 1999 and other international and national enactments, in that behalf,
on intellectual property. It may not be produced by any means, in full or part, except for short
extracts in fair dealing, for research or private study, critical scholarly review or discourse with
an acknowledgement, without the written permission of the Moshi Co-operative University.
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CERTIFICATION
The undersigned certify that he/she has read and hereby recommend for acceptance by Moshi
Co-operative University a Research Report titled “The determinants of Tax Compliance in
Tanzania” in partial fulfillment for the award of degree of Bachelor of Arts in Accounting and
Finance of Moshi Co-operative University.

……………………..……………………………………………

(Supervisor’s Name)

……………………..……………………………………………

(Supervisor’s Signature)

……………………..……………………………………………

Date
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DEDICATION
This research is devoted to my lovely Father and mother (Ally Rajabu and Jamila Mussa
respectively) for her diligent support and cooperation in my entire career life (morally,
financially and spiritually). In addition, I devote the work to my lovely sisters (Hidaya Rajabu
and Hamisa Rajabu) for their great encouragement and sources of inspiration for me in life.
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ACKNOWLEDGEMENT
The accomplishment of the research work and eventually completion of this report would not
have been achieved without the involvement of several players.

First and foremost, I am grateful to the Almighty God who gave me life and other numerous
blessings throughout my studies.

Second, Many thanks goes to my supervisor Matogoro and decead Dr. Bamanyisa who
participated in this study for their cooperation and support during this study

I would also like to acknowledge the support and love of my family my lovely Father And
Mother Ally Rajabu and Jamila Mussa respectively, my friend Flowin Njerekela and my sisters
Hidaya and Hamisa for always being encouraging and supportive. They kept me going and this
work would have not possible without them.

Many thanks also go to the Small and Medium Enterprises’ representatives of Moshi
municipality who participated in this study for their cooperation and support during this study.

Finally, I am extremely grateful to the management and employees of Tanzania Revenue

Authority for giving me an opportunity to shadow this educational endeavor
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ABSTRACT
The major aim of this study was to examine the determinants of taxation compliance in Tanzania
from taxpayer perspectives. The specific objectives of the study were to examine the extent of
tax compliance by sole traders, to identify factors for tax compliance by sole traders, to
determine challenges facing sole traders in tax compliance.

The study employed quantitative approach. Data were collected from 30 Small and Medium
Enterprises (SMEs) operating in Moshi. Data were analyzed descriptively to examine
relationship among variables.

The findings have shown that tax compliance of SMEs in Moshi is influenced by several factors
such as Tanzania Revenue Authority (TRA) service quality, taxpayer trust, fairness of tax laws,
and regulations and public governance quality. In addition, tax compliance is positively related
to these factors. Furthermore, the findings have shown that SMES do not comply with tax laws
and regulations as they fulfill their tax obligations by force, report incorrect income and delay to
submit tax return on time

Tax compliance is a phenomenon of great importance to the national development; taxpayers

who know their tax obligations and accomplish the same willingly are friends of national
developments and prosperity.

Therefore, the study recommends that the government should inculcate the culture of paying
taxes willingly to the taxpayer by ensuring that they build trust and good public image and
improve judiciary systems and investment in the infrastructures that benefit the majority of the
taxpayers.

.
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LIST OF ABREVIATIONS
TRA : Tanzania Revenue of Authority

SMEs : Small and Medium Enterprises

MoCU : Moshi Cooperative University

SPSS : Statistical Package for Social Science

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TABLE OF CONTENTS

DECLARATION AND COPY RIGHT.............................................................................................................3

CERTIFICATION........................................................................................................................................4

DEDICATION............................................................................................................................................5

ACKNOWLEDGEMENT.............................................................................................................................6

ABSTRACT................................................................................................................................................7

LIST OF ABREVIATIONS............................................................................................................................8

TABLE OF CONTENTS...............................................................................................................................9

LIST OF TABLES......................................................................................................................................12

Table 4.8 Reasons traders comply with tax laws ………………………………………………..................................12

Table 4.15 Challenges faced by Respondents………………………………………………………...............................12

CHAPTER ONE........................................................................................................................................13

INTRODUCTION.....................................................................................................................................13

1.2. Statement of the Problem..............................................................................................................14

1.3 Research Objectives.........................................................................................................................15

1.3.1 General Objective.........................................................................................................................15

1.3.2 Specific Objectives........................................................................................................................15

1.3.3 Research Questions......................................................................................................................15

1.4 Significance of the Study..................................................................................................................15

CHAPTER TWO.......................................................................................................................................16

LITERATURE REVIEW..............................................................................................................................16

2.2 Definition of Key Terms...................................................................................................................16

2.2.1 Tax Compliance.............................................................................................................................16

2.2.2 Taxation........................................................................................................................................16
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2.2.3 Sole trader....................................................................................................................................16

2.2.4 Tax compliance and tax information.............................................................................................17

Theoretical frame work.........................................................................................................................17

Political Legitimacy Theory....................................................................................................................17

Theory of Planned Behavior..................................................................................................................17

Fiscal Theory Exchange..........................................................................................................................18

The Allingham and Sandmo...................................................................................................................18

Economic Deterrence Theory................................................................................................................18

Theory of Crime.....................................................................................................................................18

The Tax Moral Theory............................................................................................................................18

2.4 Empirical Literature review..............................................................................................................19

The extent of tax compliance................................................................................................................19

Factors for tax compliance....................................................................................................................20

2.5 Research Gap...................................................................................................................................21

CHAPTER THREE.....................................................................................................................................22

RESEARCH METHODOLOGY...................................................................................................................22

3.1 Research Design...............................................................................................................................22

3.2 Description of the study area..........................................................................................................22

3.3 Sampling..........................................................................................................................................22

3.3.1 Sampling frame/population..........................................................................................................22

Sampling frame......................................................................................................................................22

Population sample.................................................................................................................................22

3.3.2 Sample size...................................................................................................................................23

3.3.3Sampling techniques......................................................................................................................23

3.4 Data Collection................................................................................................................................24

3.4.1 Types of data................................................................................................................................24

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3.4.2 Sources of data.............................................................................................................................24

3.4.3 Collection techniques Data...........................................................................................................25

3.4.3.1 Questionnaires...........................................................................................................................25

3.4.3.2 Interviews..................................................................................................................................25

3.4.3.3 Documentary review.................................................................................................................25

3.5 Data analysis Techniques.................................................................................................................25

CHAPTER FOUR......................................................................................................................................26

RESEARCH FINDINGS AND DISCUSSIONS...............................................................................................26

Introduction...........................................................................................................................................26

4.1 Demographic Characteristics of the Respondents...........................................................................26

4.1.2 Age of Respondents......................................................................................................................26

4.1.3 Marital Status...............................................................................................................................27

4.1.4 Education Level.............................................................................................................................27

4.2 Presentation and Discussion of Findings..........................................................................................29

4.2.1 To examine the extent of tax compliance by sole traders............................................................29

Reasons traders comply with tax laws...................................................................................................30

Table 4.8 Reasons traders comply with tax laws...................................................................................30

4.2.2 Factors for tax compliance by sole traders...................................................................................30

4.2.3 Challenges facing sole traders in tax compliance..........................................................................33

Table 4.15 Challenges faced by Respondents........................................................................................33

CHAPTER FIVE........................................................................................................................................35

SUMMARY, CONCLUSION AND RECOMMENDATIONS..........................................................................35

5.1 The Summary of the Study..............................................................................................................35

5.2 Conclusion.......................................................................................................................................36

5.3 Recommendations...........................................................................................................................36

REFERENCES..........................................................................................................................................38
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APPENDICES...........................................................................................................................................40

APPENDIX 1...........................................................................................................................................40

APPENDIX II...........................................................................................................................................41
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LIST OF TABLES
Table 3.1: Sample size of the studying population…………………………………………………

Table 4.1 Sex of Respondents……………………………………………………………………

Table 4.2 Age of Respondents……………………………………………………………………...

Table 4.3 Marital Status of respondents…………………………………………………………..

Table 4.4 Education Level of respondents…………………………………………………………

Table 4.5 Respondents time of being a business officer……………………………………………

Table 4.6 People pay personal income tax …………………………………………………………

Table 4.7 People who do not underestimate tax return …………………………………………….

Table 4.8 Reasons traders comply with tax laws ………………………………………………......

Table 4.9 Respondents time of paying tax…………………………………………………………

Table 4.10 Respondent’s kind of business………………………………………………………….

Table 4.11 Tax system and business operation……………………………………………………

Table 4.12 Factors that trader pay tax required by law……………………………………………..

Table 4.13 Respondent’s reasons to pay tax ……………………………………………………….

Table 4.14 Respondent’s opinion to government…………………………………………………

Table 4.15 Challenges faced by Respondents………………………………………………………

Table 4.16 Respondents addresses to the Challenges………………………………………………

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CHAPTER ONE.
INTRODUCTION
1.1 Background to the study

The government of Tanzania and any other in the globe, levy taxes for multiple of purposes, but
mainly to raise funds in order to cover public expenditures and on the other hand to properly
allocate resources.

The domestic tax base in most African countries are undermined by the widespread tax
avoidance and evasion (IMF 2011). Although taxpayer non‐compliance is a continual and
growing global problem (McKerchar and Evans 2009), many indications suggest that
developing countries, many of them in Sub‐Saharan Africa including Tanzania, are the hardest
hit (Cobham 2005; Fuest and Riedel 2009). Dealing with the problem of tax evasion requires
some understanding of the factors underlying the individual taxpayer’s decision whether to pay
tax or evade taxes.

However, little is known about the determinants of tax compliance in developing countries
(Andreoni et al. 1998; D'Arcy 2011; Fjeldstad and Semboja 2001). With regard to Tanzania,
(Maliyamkono et al (2009) writing with colonial history in mind, notes that, “the history of
taxation in the country (Tanzania) has led to a situation where many people and companies see
no shame in avoiding paying tax and where small enterprises will find it beneficial to remain
outside the formal taxed economy”.

Tanzania Revenue Authority (TRA) was established in 1996 by law as a semi autonomous
government agency responsible for the administration and collection of government taxes in
Tanzania. TRA is clearly aware of the problem of tax noncompliance and has been addressing
aspects of non-compliance in implementing the First, Second, Third and now the Fourth
Corporate plans. In the meantime, TRA has tended to rely heavily on detection and punishment
of non-compliant taxpayers. Historically, tax has been a hot political issue even in the most
developed countries, as many political leaders use it as a tool to win political elections, with
some claim they will increase compliance while others stand on reducing tax exemptions.
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Reducing the revenue losses arising from non-compliance with tax laws is a critical objective of
all revenue bodies. The non-compliance may be unintentional, where the taxpayer is not aware
of his/her tax obligations or fails to fulfill his/her tax obligations due to ignorance of tax laws
and procedures or may be intentional due to the compliance attitudes (Christina, Deboral and
Gray, 2003). At the same time, achieving tax compliance and improving revenue generation is
not an easy task (Allingham and Sandmo, 1972; Kimungu and Kileva, 2007). So better
understanding of the determinants of tax compliance will help the government through TRA to
reduce the ration and hence increase tax collection.

1.2. Statement of the Problem

Tax is that the main part of government revenue that may be accustomed to finance all the
government expenditure to stabilize the economy. In Ethiopia, the government imposed tax
(direct and indirect), among others; as major and vital sources of public revenue for the
promotion of its economic process. However, this imposition of tax could not still bring the
desired result due to variety of reasons such among that the main reason is tax payers do not
comply with their tax obligation (Tesfaye, 2015). Among different things, the challenges facing
tax collectors are existence of taxpayers ‘culture to evade and avoid taxes, social disapproval
among taxpayers against tax offences and taxpayers’ delay in tax declaration (Mpambara,
Byiringiro&Donatille, 2013). The number of expected revenue from tax might not be collected
due to tax evasion and tax avoidance which are existing behaviors in all economies in all century
(Zandi & Rabbi, 2015). Tax avoidance and evasion area unit pervasive over all countries of the
world, and tax structures are unit beyond any doubt skew by this reality (Slemrod&Yitzhaki,
2002). In recent years, the Ethiopian government has been creating substantial efforts in
reforming and modernizing the revenue administration with the aim of simplifying the income
tax system and increasing government revenue (Temtime, 2014). Despite the efforts taken by
government, Tanzania like several developing countries suffers from government revenue loss
due to tax noncompliance (Ahmed and Kedir, 2015). Still now, to the very knowledge of the
researchers, no studies have been made on the identification of factors influencing tax
compliance behaviors of tax payers in the study area. Therefore, this study will be undertaken
with the aim of analysis of level tax compliance behavior of tax payers and its determinants.
Evidence from (mafuru, 2017) assessment of factors hindering tax compliance to traders in
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Tanzania with reference to Mwanza city council. (Minja, 2018) study on the cases of non-
voluntary tax compliance in relation to direct taxes experience from Kilimanjaro region

1.3 Research Objectives.

1.3.1 General Objective.
To examine the determinants of taxation compliance by sole traders in Moshi Municipality
Tanzania.

1.3.2 Specific Objectives.

Specifically the study intend to;

i. To examine the extent of tax compliance by sole traders in Moshi Municipality.

ii. To identify factors for tax compliance by sole traders.
iii. To determine challenges facing sole traders in tax compliance.

1.3.3 Research Questions.

i. What is the extent of tax compliance by sole traders in Moshi Municipality?
ii. What are the factors for tax compliance by sole traders?
iii. What are the challenges facing sole traders in tax compliance?

1.4 Significance of the Study.

The findings of this study will help the government to establish the measures to enhance tax
compliance in case of collecting tax to individuals, mostly to sole traders, those who pay tax
through their profit earned. And how to overcome the challenges that they face in the collection
of tax. Also, this study will help sole traders in Moshi Municipality understand why they should
pay tax and to know the challenges government face when collecting tax to them, and they
should know that the money they paid to the government help to provide various social services.
For example; government provide good infrastructures to their citizens like the railway station
from Dar es Salaam to Arusha. At the end of the research, the sole trader should understand that
it is better for them to have positive attitude on the payment tax compliance so as to help the
government to develop the nation in a better way.

HAPTER TWO
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LITERATURE REVIEW
2.1 Introduction.

The chapter covered the definition of key terms, theoretical framework and empirical studies
which assess the related works done by other researchers or different scholars on the existing
knowledge on tax payer compliance. Furthermore, it presents the conceptual framework which
was developed from literature review and the hypotheses of the study.

2.2 Definition of Key Terms.

This section provides a discussion of the definitions of the key terms as was defined by other
researchers and at the end the researcher provides a guiding definition that is used by this study.

2.2.1 Tax Compliance.

Tax Compliance this refers to where tax payers decide to comply with tax laws and regulations
by paying tax timely and accurately. Or Tax compliance is the degree to which a taxpayer
complies (or does not comply) with the tax rules of their country, for example by declaring
income, filing a tax return, and paying the tax due in a timely manner. Tax compliance was
either relate to corporate tax or personal tax.

2.2.2 Taxation
Taxation is the means by which a government or the taxing authority imposes or levies a tax on
its citizens and business entities. From income tax to goods and services tax (GST), tax applies
to all levels.

2.2.3 Sole trader

Is a simple business arrangement, in which one individual run and owns the entire business.
Although many people use the term to refer to businesses that have no other employees aside
from the owner, the actual definition of ‘sole trader’ refers to the legal structure of the business,
rather than the number of employees. As such, while a business registered as a sole trader might
only consist of the owner, it might also consist of the owner and additional employees.

2.2.4 Tax compliance and tax information

The influence of knowledge on compliance behavior has been proven in various researches
(Mohamed Ali et.al, 2007). Harris (1989) divided tax knowledge into two aspects, namely,
knowledge through common or formal education received as a matter of course and knowledge
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specifically directed at possible opportunities to evade tax. In the first case, the level of
education received by taxpayers is an important factor that contributes to the general
understanding about taxation especially regarding the laws and regulations of taxation (Eriksen
and Fallan, 1996).

Theoretical frame work.

This section provides theories that explain factors affecting tax compliance. These theories was
guided by this study because they offer a complete explanation as why and how individuals and
organizations evade tax. The following theories about tax compliance have been developed by
various scholars to show how various conditions (Ex: people’s trust towards the
government/quality of goods and services provided by the government to its people) enhance the
level of tax compliance. These theories can be explained in brief as follows;

Political Legitimacy Theory.

This theory illustrates that tax compliance is largely influenced by the extent to which their
citizens trust their government (Tyler, 2006) and (Kirchler, 2008). Further, according to Persson
(2008) emphasized that building national identity is more successful than they become major
opponents of politics.

Theory of Planned Behavior.

The theory of planned behavior is an important theory that presents within the scope of social
psychology and tries to explain human behaviors. This theory was developed by (Ajzen, 1991)
and it is just the improved form of the Theory of Reason Action suggested by (Ajzen&Fishbein,
1991) to explain conscious behaviors. According to this theory, behaviors of the individuals
within the society are under the influence of several factors, originate from certain reasons and
emerge in a planned way (Erten, 2002). Nevertheless, the ability to perform a particular behavior
depends on the fact that the individual has a purpose towards that behavior.

Fiscal Theory Exchange

This illustrates that the government can enhance the level of tax compliance by providing goods
and services to its people more efficiently and effectively (Cowell & Gordon, 1988), (Levi,
1988), (Tilly, 1992) and (Moore, 2004). Further, this also provides a good link between the
taxpayers and the government (Moore et al., 2004). Therefore, it is more justifiable to assume
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that taxpayers’ behavior is influenced by either their level of satisfaction or level of

dissatisfaction with the provision of public goods and the services.

The Allingham and Sandmo

Theory (AS Theory). This theory was developed by Allingham and Sandmo. According to
(Sandmo, 1972) The AS theory expresses that the government tries to prevent tax evasion
through undertaking a series of actions such as putting extra penalties, undertaking tax audits
etc. A taxpayer will decide to evade his or her tax obligations when he or she feels that the cost
of evading tax is too low. Taxpayers would also evade tax when he or she feels that the cost of
compliance is high.

Economic Deterrence Theory.

Which states that taxpayers’ behavior is influenced by a range of factors such as tax rate,
penalties etc. According to (Becker, 1968) which implies that when the strength of the tax audits
and the penalties are high then, very few people will try to avoid taxes. On the other hand, when
the strength of the tax audits is less and the penalties are low then, expected to evade the taxes is
very high. Further, this theory is highly adopted by tax administrators when developing suitable
strategies.

Theory of Crime.
The theory of crime states that people are rational actors who behave in a manner that
maximizes their expected utility. (Becker et al., 1968) argued that authorities needed to and
appropriately balances between detection of noncompliance and measures to the point where
non-compliance becomes irrational in fact, research has shown that the use of threat and legal
coercion, can produce negative behavior; these actions are more likely to result in further non-
compliance (Murphy and Harris,2007), creative compliance (McBarnet, 2003).

The Tax Moral Theory.

The tax morale theory was first developed by German scholars well known as Cologne school of
tax psychology. Tax morale which is an individual factor that motivates a person to comply with
his or her tax obligations. Many studies have found out that tax evasion can be attributed to tax
morale (Mocetti, Vol 18 No. 6). This theory further stated that taxpayers are more likely to
comply with tax obligations if their friends, relatives and ijbm.ccsenet.org International Journal
of Business and Management Vol. 14, No. 10; 2019 136 acquaintances comply with these
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obligations. Also, taxpayers evade taxes if they feel that other people are getting away with tax
evasion. That means if a society concentrates on tax evasion, such a society would encourage tax
evasion (Waweru, 2004).

2.4 Empirical Literature review.

The following are studies that relate to tax compliance;

The extent of tax compliance

A study by Mmanda (2011) explains the case of Tanzania that the things like seminars, meetings
and conferences with the tax payers; consumers’ case training and tax club management, and
publications are used in providing the tax education. These services tend to stimulate voluntary
tax compliance when they are properly and effectively provided. Moreover, their studies could
not examine the influence of tax payer services in promoting voluntary tax compliance. Also,
their studies could not explore the challenges encountered by tax payers when they exercise
voluntary tax compliance.

Massala (2009). In this study found that different literature shows that there are differences in
the provision of tax-payers services depending on the nature of the tax authority of a certain
country. For example, tax education programs in schools such as tax education texts which are
in the form of cartoons for elementary schools and secondary students “taxation teaching
materials and things such as websites; video programs and picture books are also used in
providing tax education in Malaysia and Japan. Yongzhi (2010). In this study shows that one
facet of tax-payers services (tax audit) and its impacts on voluntarily compliance, this study ends
by showing that the tax audit impact becomes strong as time passes. This has a positive impact
on the tax compliance as it is after an audit, a firm think that the tax authorities are correctly
monitoring its activities and may feel that it is easier to be caught if it was attempt to conceal
revenue.

Machogu and Amayi (2013) did a study on the effect of taxpayer education and how it helps
taxpayers comply with tax voluntarily, using SMEs in Mwanza city in Tanzania. The purpose of
the study was to establish levels of taxpayer education among SMEs, level of voluntary tax
compliance among the SMEs and the effect of tax education on the level of voluntary tax
compliance among entrepreneurs available in Mwanza city. The methodology adopted was
descriptive research design where questionnaires were distributed to capture a cross section of
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the population. 72 SMEs owners in Mwanza city participated in the study. Data were analyses
through descriptive statistics. The results indicated that about 85% of entrepreneurs in Mwanza
city had gained basic tax education and about 78% of the entrepreneurs in the city replied that
tax education had helped them to be aware of the rights and obligations of the taxpayers and all
the procedures required to pay taxes. This study did not study voluntary tax compliance as a
function of fairness of tax laws and regulations, public governance quality, taxpayer trust and
service quality. Therefore, the present study fills such information gap.

Factors for tax compliance

Ali, Fjeldstad, and Sjursen (2013) conducted a study to determine factors affecting tax
compliance attitude in Africa. The evidence was collected from four countries namely Kenya,
Tanzania, Uganda and South Africa. The purpose was to compare and evaluate differences in
perception of citizens’ attitude towards voluntary tax compliance attitude in the four countries in
Africa. The study made use of survey 10 data from Afro barometer surveys. Through binary
logic regression analysis, the study found that there were some similarities and differences
among the factors affecting voluntary tax compliance behavior in the four countries in Africa.
The study also managed to show that an increase in the perception and attitude about difficulties
in evading tax increases compliant behavior in Kenya and South Africa. The study also managed
to show that individual perception of the satisfaction of the services provided by their
governments increased the likelihood of individuals to pay tax voluntarily in all the four
countries. The study also managed to show that ethnicity of individuals who are not fairly
treated by the government influences voluntary tax compliance behavior in Tanzania and South
Africa. Moreover, tax knowledge was found to correlate positively with compliant attitude in
Tanzania and South Africa. This study managed to determine voluntary tax compliance using
service quality; however, the study did not consider public governance quality, Fairness of tax
laws and regulations, and taxpayer trust. Marandu, Mbekomize and Ifezue (2014) conducted a
study on the determinant

Hidayati et al (2014) conducted a study on service quality, regional tax regulations, taxpayer
satisfaction level, behavior and compliance. The purpose of the study was to develop a model
that would determine compliance of taxpayers given service quality, regional tax regulations,
taxpayers’ satisfaction level and taxpayer behavior. The study employed confirmatory factor
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analysis; data were collected using survey research strategy where 157 taxpayers participated in
the study. The findings indicated that measurement model using confirmatory factor analysis is
the best model as a result of goodness of fit condition for taxpayer’s obedience and the
indicators on tax service quality. The findings also indicated that regional tax regulations,
taxpayer satisfaction level, taxpayer behavior and tax compliance were valid in convergence and
discriminated was also reliable. Furthermore, the findings indicated that responsiveness was the
strongest indicator of service quality while explication of the regulations was the strongest
indicator for regional tax regulations. In addition, the strongest indicator for taxpayer
satisfaction level, behavior and taxpayer’s obedience were hope, sanctions and tax reporting
respectively. This study managed to determine voluntary tax compliance using service quality;
however, the study did not examine the influence of tax payer services in promoting voluntary
tax compliance. Also, the study could not explore the challenges encountered by tax payers
when exercising voluntary tax compliance. Therefore, the present study fills such information
gap.

2.5 Research Gap.

The first point noted that, there are wide written material on tax compliance. Evidence from
(mafuru, 2017) assessment of factors hindering tax compliance to traders in Tanzania with
reference to mwanza city council. (Minja, 2018) study on the cases of non-voluntary tax
compliance in relation to direct taxes experience from Kilimanjaro region

Generally, there are not much literature specific in determine factors of tax compliance. The
second point was that the written material on tax payer compliance did not sufficiently study the
determinants of tax compliance. Also, the tax educations to the tax-payers do not address the
determinants of tax compliance among tax-payers. This study fill the gap through investigate
and addressed the determinants of tax compliances of tax payers.
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CHAPTER THREE
RESEARCH METHODOLOGY
3.1 Research Design
According to (Burns and Grove 2001), research design it is the blueprint for conducting the
study that maximizes control over factors that could interfere with the validity of the findings.
There are several research designs but for the purpose of this study it was used both financial
and time constraints. Apart from that, case study design was usefulness of gaining a rich
understanding of context of the problem. This was enabling the researcher to focus on the single
area and enable various methods of data collection used. According to (Kothari 2004) a case
study design enables a researcher to make carefully and complete observation of an individual, a
situation or institution.

3.2 Description of the study area

For the purpose of collecting information about taxpayer’s, on tax compliance and to know the
determinants of tax compliance. Moshi municipal was selected study area which was located in
Kilimanjaro Region. The area was selected because it provides sufficient data that was studied
according to the purpose of the study.

3.3 Sampling
3.3.1 Sampling frame/population
Sampling frame
This is collection of population element. The study used sole traders or small and medium
enterprises operating at Moshi Municipality as a sample frame. The population involved workers
and owners of small business operating at Moshi Municipality. This was enabling the researcher
to obtain different views from different groups of respondents.

Population sample
Population included all members or units of some clearly defined group of people, objects or
events. In this proposed study, population refers to the entire group of persons who meet criteria
that the researcher is interested to use in studying. Neumann (2000) defines research population
as the specific pool of cases, individual or group(s) of individuals which the researcher wishes to
investigate. The population of this proposed study was tax payers who were sole traders and
workers of TRA in Moshi Municipality in Kilimanjaro region.
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3.3.2 Sample size

Kothari (2004) defines sample size as the number of items to be selected from the universe to
constitute a sample. The techniques were applied for data collection during the study so as to
obtain true representation of the population. The study was involving sample of 40 respondents
comprised with 2 TRA officers 8 owners of the business and 30 workers. The number was
chosen because it reflects the limit of the researcher’s budget and time.

Table 3.1: Sample size of the studying population.

Area of the study Respondent title Sample size

Moshi Municipality TRA Officers 2
Small business owners 8
Small business workers 30
Total 40
Dolvin’s formula was adopted to determine sample size

n=N /1+ Ne 2

N= total number of people within the study area (Population)

n= estimated individual sample size

e= standard error, for example for example 5% percent was used to obtain manageable
respondents

Therefore, n= 45/ 1+45(0.05)2

n=40

3.3.3Sampling techniques
The research used purposive sampling and simple random sampling techniques. Purposive
sampling was used to gather information from respondents. A small business worker was
purposively selected because of being sure of getting reliable information about sole traders in
municipality. Purposive sampling employed to select key informants including Moshi
municipality council officer, TRA, Small 15 business owners, and small business workers. This
method was selected because information needed is supposed to come from targeted people
because of their unique roles played in providing necessary information. Simple random
 25

sampling method was used in this study because each member of a targeted population was
having an equal chance to be involved in the study. This method was help to reduce human bias
in the selection of respondents to be included in sample. As the result, simple random provide a
researcher with a sample that is highly representative of the targeted population. The method
helped the researcher to make statistical inferences from the sample to the population, and this
was considered to have external validity.

3.4 Data Collection

The study used different methods of data collection such as interview, observation and
questionnaire where by both primary data and secondary data was collected from taxpayers in
Moshi municipal.

3.4.1 Types of data

The researcher collected both primary and secondary data;

The primary data are those which are collected afresh and for the first time, and thus happen to
be original in character (Kothari, 2004). These data was collected through interview that the
researcher conducted and questionnaires formulated by the researcher herself.

Secondary data means data that are already available. That is, they refer to the data which have
already been collected and analyzed by someone else. The researcher reviewed other sources of
data collection which such text books contained the information from previous studies in MoCU
library.

3.4.2 Sources of data

In this proposed study the researcher used both primary and secondary data, in which primary
data was obtained direct from the respondents who were business owners and workers, and
secondary data was obtained from different sources including textbooks, journals/articles (both
published and unpublished), and internet sites.

3.4.3 Collection techniques Data

3.4.3.1 Questionnaires
According to Saul McLoleod, (2018) a questionnaire is a research instrument consisting of
series of questions for the purpose of gathering information from the respondents. Carefully
designed instrument (written, typed or printed) for collecting data directly from people. The
 26

study used questionnaire from taxpayers and staff selected. In case of taxpayers, the researcher
fills in questionnaire where the respondents were asked a set of questions. Self administered
questionnaire was used by staff representatives and the taxpayer’s who have a high level of
understanding, therefore they fill themselves and returned them in appropriate time. A
questionnaires were comprises open ended and closed ended questions to the respondents.

3.4.3.2 Interviews
An interview is a purposeful exchange of ideas, the answering of questions and communication
between two persons this is according to Scott (2018), the researcher asked some questions face
to face to other respondents from sole traders who pay tax and TRA who collects tax. The
objective was to understand the respondents’ point of view rather than generalizing about
situation. Face to face interview was used in the whole process of data collection. The researcher
was asking an open ended question which gives the respondents considerable freedom to talk
freely on the topic. The interview was conducted in Moshi municipality.

3.4.3.3 Documentary review

Documentary reviewed was used to collect secondary data. This includes review of various
records and documents of TRA treasury in Moshi municipal to collect maximum data about
research. Also, literature review was further done from the MoCU library to give more
secondary data of previous findings.

3.5 Data analysis Techniques

Data analysis was involved processing data, preparation, screening, evaluating sample
statistically, materials and interpreting the result. Technically speaking, processing implies
editing, coding, classification and tabulation of collecting data so that they are amenable to
analysis (Kothari 2004). In this study, the quantitative data collection was analyzed by using
statistical package for social science (SPSS), Qualitative data analyzed by examining,
categorizing, tabulating and recommending the evidence obtained from the research instrument
used.

Lastly, the output present in tables, and texts to be interpretation and general appraisal of the
events. The study used qualitative data to supplement the information obtained from quantitative
data. Narrations and analysis of the content used as the main analytical procedure of the study
 27

CHAPTER FOUR
RESEARCH FINDINGS AND DISCUSSIONS
Introduction
This chapter attempts to analyze, present and interpret the data collected from the field. The
purpose of this study was the determinants of taxation compliance in Tanzania of sole traders in
Moshi Municipality. In addition, this chapter discusses the demographic characteristics of the
participants including gender, age, marital status, income level and levels of education. The
descriptive statistics like frequencies, percentages, tables, and graphs were used to analyze data
through the SPSS and presentation of the data was used through Microsoft word.

4.1 Demographic Characteristics of the Respondents

4.1.1 Sex of Respondents

The study examined the gender distribution of participants in the study. The aspect of gender
enhances the researcher to understand the distribution of males and females in the study
population. Results show that male were 47.5% (19) and followed by females 52.5% (21). This
indicates that female were the most dominant in this study.

Table 4.1 Sex of Respondents

Sex Frequency Percent
Male 19 47.5
Female 21 52.5
Total 40 100
Source: Field Data, (2021).

4.1.2 Age of Respondents.

The study examined the Age distribution of participants in the study. Results show that majority
of respondents were represented in the age between 31-45 on which they constitute about more
than 40.0%.

Table 4.2 Age of Respondents

 28

Age Frequency
18-30 15
31-45 16
46-60 7
61 above 2
Total 40
Source: Field Data, (2021).

4.1.3 Marital Status

The study examined the marital status of participant in the study. Result show that married were
62.5% (25), single were 25.0% (10), widow/widower were 7.5% (3), and divorced were 5.0%
(2). This indicates that married were the most dominant in this study.

Table 4.3 Marital Status of respondents

Status Frequency
Married 25
Single 10
Widow/ Widower 3
Divorced 2
Total 40
Source: Field Data, (2021).

4.1.4 Education Level

The study was carried out in a region that is located in the middle of Tanzania, given the theme
of the study, most of the respondents are found in urban areas and thus they have different level
of education. The majority went for Diploma education (16) and Degree education (14),
followed by the Certificate education (10). The education status of the respondents is adequate
and gives hopes to rely on the information collected concerning the study.
 29

Table 4.4 Education Level of respondents

Education Frequency Percent

Certificate 10 25
Diploma 16 40
Degree 14 35
Total 40 100
Source: Field Data, (2021)
 30

4.2 Presentation and Discussion of Findings

4.2.1 To examine the extent of tax compliance by sole traders
Respondents time of being a business officer.
The study examined the respondents time of being a TRA officer, Results show that 50% (1)
indicated a period of 0 to 5 years, 50% (1) indicated a period of 6 to 10 years

Table 4.5 Respondents time of being a business officer.

Years Frequency Percent
0-5 1 50
6-10 1 50
Total 2 100
Source: Field Data, (2021).

People pay personal income tax

The study examined how traders pay personal income tax. Results show that majority of
respondents 2 to 100% pay personal income tax.

Table 4.6 People pay personal income tax

Responses Frequency Percent

60_80% 2 100
Total 2 100

Source: Field Data, (2021).

People who do not underestimate tax return

The study examined the people who do not underestimate tax return. Results show that majority
of people 1 to 50% and another tax officer says 1 to 50% do not underestimate tax return

Table 4.7 People who do not underestimate tax return

Responses Frequency Percent

20_40% 1 50
40_60% 1 50
Total 2 100
 31

Source: Field Data, (2021).

Reasons traders comply with tax laws

The study examined the reasons conducted by respondents why traders pay tax. Results show
that majority of respondents 100% (2) pay tax due to appropriate enforcement by the TRA.

Table 4.8 Reasons traders comply with tax laws

Responses Frequency Percent
Appropriate enforcement by the TRA 2 100
Total 2 100
Source: Field Data, (2021).
4.2.2 Factors for tax compliance by sole traders
Respondents time of paying tax

The study examined how long the respondents have been registered to pay tax. Results show that
41.0% (16) have been 0 to 5 years, 28.5% (11) have been 6 to 10 years, 23.5% (9) have been 11
to 15 years and 7.0 (2) have been 16 and above.

Table 4.9 Respondents time of paying tax

Years Frequency
0_5 Years 16
6_10 Years 11
11_15 Years 9
16 and above 2
Total 38
Source: Field Data, (2021).

Respondent’s kind of business

The study examined the kinds of business conducted by respondents. Results show that majority
of respondents 35.5% (11) are engaging in retail business, followed by 31.0% (10) who are
service provider, 23.5% (9) who conducts wholesale business, 10.0% (8) also who conducts
manufacturing business.
 32

Table 4.10 Respondent’s kind of business

Business sector Frequency

Manufacturing 8
Retail 11
Service provider 10
Wholesale 9
Total 38

Source: Field Data, (2021).

Tax system and business operation

There are mainly two tax systems used which are presumptive tax scheme and account case tax
system. The findings from the field indicate that 57.5% (23) of respondents involved with the
study had business operating under presumptive scheme of tax system. This implies that large
population in Moshi municipality has business operating under presumptive scheme. While
42.5% (15) of respondents businesses were operating under Accounts case tax system as
presented in table below. Accounting practice is the correct treatment for tax purposes, provided
that the accounts are prepared in accordance with generally accepted accounting practice
(GAAP)
Table 4.11 Tax system and business operation
Tax System Frequency
Presumptive scheme 23
Account case 15
Total 38
Source: Field Data, (2021).

Factors that trader pay tax required by law

The study examined the reasons that respondents pay tax as required by law. Results show that
40.5% (17) because of return in form of service delivery, 30.5% (11) because of satisfactory
appropriate enforcement by the council, 23.5% (9) because of flexibility of the bylaws of the
council, 5.5% (1) because of low tax rates.
 33

Table 4.12 Factors that trader pay tax required by law

Responses Frequency
Return in form of service delivery 17
Satisfactory Appropriate enforcement by the council 11
Flexibility of the bylaws of the council 9
Low tax rates 1
Total 38
Source: Field Data, (2021).

Respondent’s reasons to pay tax

The study examined the reasons that respondents pay tax. Results show that 23.5% (9) pay to
avoid disturbances like penalties, 9.0% (6) pay in the anticipation of public services, 29.0% (10)
pay because no opportunity to evade, 38.5% (13) pay because it is an obligation towards the
government.

Table 4.13 Respondent’s reasons to pay tax

Responses Frequency
To avoid disturbances(Penalties, sanctions) 9
In the anticipation of public services 6
There is no opportunity to evade 10
It is an obligation towards the government 13
Total 38
Source: Field Data, (2021).

Respondent’s opinion to government

The study examined the measures which government should take to motivate respondents to pay
tax. Results show that 35.0% (14) wants reducing of tax rates and provide education to people,
10.0% (4) wants the establishment of policy, and 20.0% (6) wants strict laws.
 34

Table 4.14 Respondent’s opinion to government

Responses Frequency Percent
Reducing tax rates 14
provide education to people 14
Establishment of policy 4
Strict laws 6
Total 38

Source: Field Data, (2021)

4.2.3 Challenges facing sole traders in tax compliance

Challenges faced by Respondents

The study examined the challenges faced by respondents. Results show that majority of
respondents 42.5% (17) faces high tax rate, 35.0% (12) faces method of paying tax, 22.5% (9)
faces poor customer care of TRA officers.

Table 4.15 Challenges faced by Respondents

Responses Frequency Percent

High tax rate 17 42.5
Method of paying tax 12 35.0
Poor customer care of TRA officers 9 22.5
Total 38 100

Source: Field Data, (2021).

Respondents addresses to the Challenges

The study examined the way respondents addressed to their challenges. Results show that
majority of respondents 32.5% (13) addressed provide good customer care, 45.0% (16)
addressed reduce tax rates, 15.0% (6) addressed online payment, 7.5% (3) addressed paying tax
indirectly, 3.8% (3)
 35

Table 4.16 Respondents addresses to the Challenges

Responses Frequency Percent

provide good customer care 13 32.5
Reduce tax rates 16 45.0
online payment 6 15.0
paying tax indirectly 3 7.5
Total 38 100
Source: Field Data, (2021).
 36

CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATIONS
5.1 The Summary of the Study
The researcher focused on factors affecting tax compliance in Tanzania, specifically the
Tanzania Revenue Authority in Moshi Municipality. It attempted to analyze the tax compliance
which has encountered a number of challenges to sole traders, such challenges as high tax rates,
methods of paying tax, poor customer care of TRA, are some of the problems facing sole traders
within the context of paying tax.

Accordingly, the consequences of this analysis depicts that the TRA should apply pertinent
measures and appropriate principals previously in place before undertaking tax collection that at
the end come to mischief their goals. For that reason, the TRA fails to achieve its goals of
collecting the targeted revenue because some of them may evade. Due to this actual situation at
TRA Moshi Municipality, within the context of tax collection, becomes more and more
unreliable and stressful

This study argues that the citizens “return in form of service and satisfactory enforcement by the
council is an instrumental factor that shapes the emergence and maintenance of tax morale. The
underlining framework according to Sacks and Levi (2005) is that there is a social contract that
defines the relationship between the government and the governed. Levi (1988) argues that if it is
perceived by the taxpayers that the rate of transformation from tax to public goods is low then
the taxpayers will feel that the government has not kept its obligation of the contract, as a result,
the tax morale will be affected negatively which would result in deteriorating tax compliance.
Thus tax compliance, particularly in contemporary states, may be seen as a function of the
citizens‟ assessment that government upholds the fiscal contract with its citizens and meets
prevailing standards of procedural fairness in delivering public services.

The study depicts that there are indications that the institution of governance at all levels is
entangled in a web of public distrust and declining public confidence (Natufe, 2006; Abati,
2006). Elaigwu, (2002) note that there is a big gap between the rhetoric of transparency and
accountability on the one hand and demonstrable commitment to values in the actions of the
political actors, on the other hand. In another perspective, Onyegbula (2000) has pointed out that
optimistic expectations from government have all been dashed with the increasing loss of
 37

accountability even in the midst of a representative democracy. The trend is worsened by the
wide gap between government official pronouncements and actions. Likewise, made known is
very poor training done by TRA to its stakeholders, pitiable working condition and skimpy
management, unfriendly working environment, and poor remuneration.

Besides, the study also reveals that some fundamentally important facilities such as Offices are
not friendly to facilitate proper executions of TRA accountabilities. Furthermore, most of
Traders pay tax because It is an obligation towards the government, there is no opportunity to
evade and others pay to avoid disturbances

5.2 Conclusion
Nonetheless, the standard economic influences of recognition, possibility and enforcement are at
work, even though other determinants are also necessary in understanding taxpayers‟ keenness
to pay. In particular, the connection between taxation and service provision seem to be
important. It is also found that peoples‟ knowledge and awareness of the tax system have a
noteworthy impact on their compliance attitude. More likely this analysis of the factors
determining citizens‟ attitude towards paying taxes is correct, it also contributes to explaining
observed differences in tax compliance between countries and between areas within individual
countries. Thus, the findings of the study may enrich understanding of tax compliance behavior
in the selected countries.

5.3 Recommendations
The researcher of this analysis suggests that the government should reduce tax to the tax payers
like for example the current situation of nowadays in Tanzania there is high tax rates in the
process of cash out money through network agents, also about the corona disease many tax
payers suggests to pay online the TRA taxes, TRA should provide control numbers online and
every tax payer should pay through online payments this help to reduce mortality rate due to the
current disease COVID 19. so as to guarantee that there is an adequate amount and satisfactory
tax collected for the intention of mounting revenue at National rank as well as Moshi
Municipality and to make certain that TRA tax payers observe with all TRA convention in
paying tax. In addition, the investigation proposes that understanding on tax compliance to the
community is exceedingly wanted for the aim of meeting the approved target for revenue
collection at Moshi Municipality.
 38

The study provides the readers with certain instructions for further research. Designed for an
improved understanding of tax compliance attitude and behavior in Tanzania, there is a call for a
more systematic assessment of this topic specifically the contractual relationship between
taxpayers and the government. Thus, pitiable service delivery in this sphere legitimizes tax
avoidance and evading. Accordingly, for the further study the following domains may be dealt in
order to acquire more information and understanding to examine critical factors in this respect
are citizens‟ awareness in relation to the position of the government, how the tax law is
controlled, discernment regarding enforcement, and government trustworthiness. Likewise, for
more suggestions this area of payment to non-state actors for the prerequisite of services and
infrastructure may be correlated with peoples‟ tax compliance attitude. Furthermore, there is a
obligation for research basing on justice in tax collection and comparative treatment of taxpayers
since the main goals for taxation is to hoist domestic revenues from consenting citizens
 39

REFERENCES

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Ajzen,I.,&Fishbein,M. (1991). Theory of Planned Behavior: Organization behavior and human

decision processes.

Allingham, M.G and Sandmo, A (1972). Income Tax Evasion: A Theoretical Analysis Journal of
Public Economics,1:323.338.). among Taxpayers.

Andreoni, J., Erard, B. and Feinstein, J., (1998). Tax Compliance. Journal of conomic

Andreoni, J., Erard, B. and Feinstein, J., (1998). Tax Compliance. Journal of Economic
Literature,Vol 36, pp. 818-860.

Becker, G. S. (1968).Crime and punishment: An economic approach. Journal of Political

Economy,76(2),pp,169-217.

Cobham, F.A. (2005). The Economic Analysis of Tax Evasion. Bulletin of Economic Research,
Vol. 37, pp 165-196.

Cowell, F. A., & Gordon, J.P.F. (1988). Tax evasion and public good provision. Journal of
Public Economics,36,305-321.

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Affairs Department (8 March). Washington D.C. International Monetary Fund.

Kothari C. R, (2004). Research Methodology, Methods & Techniques. Literature,Vol 36, pp.
818-860.

McBarnet, D. (2001). When compliance is not the solution but the problem: From changes in law
to changes to attitude. Canberra: Australian National University, Centre for Tax System
Integrity.
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Mocetti, S., & Barone, G. (2008). Tax morale and public spending inefficiency. International Tax
and Public Finance, 18(6).

Mohammad Ali, Malik. Oshida Y et al (2007): An Economic Survey of Compliance

Moore, M. (2004). Revenues, state formation, and the quality of governance in developing
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Mpambara, F., Byiringiro, B., & Donatille, M. (2013). Assessment of Challenges Faced by Tax
Collectors and Tax Payers In Rural Areas: A Case Study Of Nyaruguru District. East
African Journal Of Science And Technology,

Murphy, K., & Harris, N. (2007). Shaming, shame, and recidivism: A test of reintegrative
shaming theory in the white-collar crime context. British Journal of Criminology, 47,
900-917. New Age International

Sandmo, A., & Allingham, M. G. (1972). Income tax evasion: A theoretical analysis. Journal of
Public Economics,

Slemrod, J., & Yitzhaki, S. (2002). Tax Avoidance, Evasion, and Administration. Handbook Of
Public Economics, 3, 1423–1470

Tilly, C. (1992). Coercion, capital, and European states: AD 1990-1992, Malden,

Massachusetts, Blackwell Publishers Inc

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TRA (2014).TRA Quarterly Tax revenue collections 2013-14.

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1(1), 8–13.
 41

APPENDICES
APPENDIX 1
Questionnaire

Dear Respondent

My name is Zuhura Ally Rajab pursuing Bachelor of Arts in Accounting and Finance at Moshi
Cooperative University. The questions that follow are intended to facilitate a study of
determinants of tax compliance in Tanzania in selected area of Moshi Municipality. Please take a
few minutes of your precious time and answer them. Your responses will be used for academic
purposes only and will be treated with utmost confidentiality.

SECTION A: Demographic characteristics (Please tick where appropriate)

Age of the respondent

18-30 years ( )

31-45 years ( )

46-60 years ( )

Above 61years ( )

2) Sex of the respondent

Male ( )

Female ( )

3) Marital status

Married ( )

Single ( )

Widow/Widower ( )

Divorced ( )

4) Education level ……………………………………..

 42

APPENDIX II
QUESTIONNAIRE FOR TRA OFFICERS

To assess the extent of tax compliance by sole traders in Moshi Municipality.

1) How long have you been tax officer in this region?

0-5 years ( )

6-10 years ( )

11-15 years ( )

16 and above ( )

2) Do you think how many percentages of people who are obliged to pay personal income taxes
actually pay their taxes?

0-20% ( )

20-40% ( )

40-60% ( )

60-80% ( )

80-100% ( )

3) How much percent of traders who do not underestimate tax return

0-20% ( )

20-40% ( )

40-60% ( )

60-80% ( )

80-100% ( )

4) What are the reasons do you think influence traders to comply with tax laws

Satisfactory return of traders ( )

 43

Appropriate enforcement by the TRA ( )

Flexibility of the TRA laws ( )

Behavioral attitude ( )

Others (specify)
…………………………………………………………………………………………

QUSTIONNAIRE FOR SOLE TRADERS

To assess factors for tax compliance by sole traders.

1. How long have you been registered as a taxpayer?

0-5 years ( )

6-10 years ( )

11-15 years ( )

16 and above ( )

2. Under which of the following sectors does your business fall?

Manufacturing ( )

Retail ( )

Service Provider ( )

Wholesale ( )

Others (specify)……………………………………………………………………..

3. Under which tax system does your business operate?

Presumptive scheme ( )

Account case ( )

4. What do you understand about tax compliance?

…………………………………………………………………………………………
 44

5. What do you think are the reasons of most of traders to pay tax as required by laws?

return in form of service delivery ( )

Satisfactory Appropriate enforcement by the Council ( )

Flexibility of the by-laws of the Council ( )

Behavioral attitude ( )

low Tax rates ( )

f) Others (specify)
………………………………………………………………………………………

6. Why do you pay taxes?

To avoid disturbances (penalties, sanctions,) ( )

in the anticipation of public services ( )

There is no opportunity to evade. ( )

It is an obligation towards the government. ( )

Don’t know. ( )

7. On your opinion suggest measures government should take to motivate traders to pay tax
…………………………………………………………………………………………

To assess the challenges facing sole traders in tax compliance.

1. What are the challenges do you face in complying with tax laws?

High tax rate ( )

Method of paying tax ( )

Poor customer care of TRA officers ( )

 45

Others (specify)
…………………………………………………………………………………………

2. On your opinion what should government do to reduce those challenges

…………………………………………………………………………………………