Taxation and Technology in Ghana

Taxation and Technology in Ghana

Our work examines the impact of technology on local tax officials’ behavior, cost of collection, and overall revenue performance.

© 2016 Sarah Hoibak/Vector Works, Courtesy of Photoshare

Our work examines the impact of technology on local tax officials’ behavior, cost of collection, and overall revenue performance.

Local governments fund essential public goods, including in healthcare, transportation and education, but funding is often constrained by limited capacity to collect revenue. An EPoD research-policy collaboration with several Ministries in Ghana seeks innovative ways to alleviate constraints on local governments’ tax capacity, examining in detail the role of technology.

We have recently finished collecting survey data and administrative data from all of Ghana’s 216 local governments, to provide an up-to-date diagnostic on capacity constraints for property and business tax collection. Based on these initial findings, we are conducting a series of randomized policy experiments to investigate the impact of technology on local officials’ behavior, cost of collection and overall revenue performance. The technology seeks to enhance the local administration’s ability to observe taxpayers and automate the billing, collection and enforcement processes.

Primary Investigators:
Anders Jensen, Harvard University
James Dzanzi, International Growth Centre (IGC) and University of Ghana, East Legon
David Lagakos, University of California, San Diego
Henry Telli, IGC and University of Ghana, East Legon

This research is supported by:
Harvard University
International Growth Centre
 

Highlights

Article |

The HKS Assistant Professor and EPoD Faculty Affiliate describes his projects with governments in Africa.

Article

EPoD researchers aim to improve government tax capacity and understand citizens’ willingness to pay.