The automation of services can play a crucial role in helping governments collect taxes more efficiently and effectively.
One way this can be achieved is through the implementation of electronic tax filing and payment systems. By making it easier for taxpayers to file their taxes electronically and make payments online, governments can reduce the costs and administrative burdens associated with paper-based systems.
This also reduces the risk of errors and fraud, as electronic systems are more accurate and secure. Another benefit of automation is that it can improve the accuracy and timeliness of tax data.
Automated systems can quickly and accurately process large volumes of data, enabling governments to identify potential non-compliance and take prompt action to address it.
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This can include identifying discrepancies between reported income and other sources of information, such as bank account transactions or property ownership records.
With automation, the government can also use predictive analytics to identify taxpayers who are at risk of non-compliance, reducing the need for costly and time-consuming audits.
Finally, automation can also lead to greater transparency and accountability in the tax system. By providing taxpayers with real-time access to their tax information and allowing them to track the status of their payments and refunds, automation can help build trust in the tax system.
This can be particularly important for governments seeking to build a strong tax culture and promote voluntary compliance. By providing taxpayers with clear and accessible information about their tax obligations and making it easy for them to comply, governments can encourage greater compliance and reduce the need for costly enforcement actions.
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