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Domestic revenue mobilization and informality: Challenges and opportunities for sub-Saharan Africa

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  • Abel Gwaindepi

Abstract

Effective domestic revenue mobilization has gained renewed urgency, especially in the light of the need to recover from the COVID-19 pandemic. In taxation debates, the 'informal sectors' have hitherto been assumed to be a part of the problem and implicitly mistaken for lucrative tax bases. First, I critically interrogate current conceptualizations of informality to highlight how the informality that materially affects revenue mobilization goes beyond the hitherto narrow focus on the visible informal sectors.

Suggested Citation

  • Abel Gwaindepi, 2022. "Domestic revenue mobilization and informality: Challenges and opportunities for sub-Saharan Africa," WIDER Working Paper Series wp-2022-120, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:wp-2022-120
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    References listed on IDEAS

    as
    1. Godwin Dube & Daniela Casale, 2019. "Informal sector taxes and equity: Evidence from presumptive taxation in Zimbabwe," Development Policy Review, Overseas Development Institute, vol. 37(1), pages 47-66, January.
    2. repec:cep:stieop:41 is not listed on IDEAS
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    4. Titan Alon & Minki Kim & David Lagakos, 2020. "How Should Policy Responses to the COVID-19 Pandemic Differ in the Developing World?," Boston University - Department of Economics - The Institute for Economic Development Working Papers Series dp-350, Boston University - Department of Economics.
    5. Fjeldstad, Odd-Helge & Kagoma, Cecilia & Mdee, Ephraim & Sjursen, Ingrid Hoem & Somville, Vincent, 2020. "The customer is king: Evidence on VAT compliance in Tanzania," World Development, Elsevier, vol. 128(C).
    6. Persson, Torsten & Besley, Tim, 2013. "Taxation and Development," CEPR Discussion Papers 9307, C.E.P.R. Discussion Papers.
    7. Moore, Mick, 2022. "Tax Obsessions: Taxpayer Registration and the Informal Sector in sub-Saharan Africa," Working Papers 17440, Institute of Development Studies, International Centre for Tax and Development.
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    Keywords

    Domestic revenue mobilization; Shadow economy; Tax revenue; Informal sector; Informality; Technology;
    All these keywords.

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