Assessment of Value Added Tax Administration (The case of Bule Hora Town)

Abstract

This study was assessed the Value Added Tax Administration in Bule Hora Town. The main objective of the research was to assess and identify the problems related to Value Added Tax Administration in Bule Hora Town Revenue Office. To achieve the objective both primary and secondary data were collected. Primary data was collected through questionnaires and unstructured interview, and Secondary data was extracted from different books, relevant documents, journals and articles, organizational manuals, different websites and analyzed by using inferential analysis. Value Added Tax implementation in Bule Hora Town Office is promising but not perfect. The major problems related to Value Added Tax administration are to found the implementation of Value Added Tax, awareness of tax payers to Value Added Tax is low, lot of Value Added Tax registrants in Bule Hora Town have no understanding about the advantage of Value Added Tax for them. Another problem is the staffs have no experience on rules and regulations, and amending new proclamations and others exist challenges at the time of Value Added Tax collection. To overcome the problems identified, the researcher recommends the revenues authority to take corrective measurement to improve Value Added Taxation, and the awareness of both employees of the authority and registered tax payer of Bule Hora Town by giving regular training.