Challenges in Collecting Taxes in Burundi

The following are challenges met in collecting taxes;

  • The country has a small tax base to collect taxes from
  • The economy of Burundi is majorly subsistence economy depending on agricultural sector with households producing mainly for own consumption
  • Poor infrastructure affects revenue collection in the country
  • Low tax paying culture
  • Large informal sector which has not yet been brought within the tax bracket
  • Lack sensitization about the reasons for paying taxes
  • Poor record keeping among tax payers affects revenue assessments and collection
  • Weak governance structures, corrupt tendencies and excessive bureaucracy

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