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Original scientific paper

Corruption, The Re-Design of Tax Systems and the Value-Added Tax

John Toye ; The Institute of Development Studies at the University of Sussex, Falmer, UK


Full text: english pdf 874 Kb

page 45-60

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Abstract

Although the transition from socialism may improve the transparency and efficiency of the tax system, both democratic politicians and tax officials may still bias its design. In the case of corrupt tax officials, they will maximise opportunities for discretion and personal interviews. The simplification of the tax system, including the introduction of a value-added tax, is widely used strategy of economic reform which has also been advocated as an anti-corruption device. This article suggest that, even though VAT collection methods are not corruption-proof, the VAT has been used with some success in Indonesia to reduce corruption in revenue collection.

Keywords

revenue collection; corruption; value-added tax, Indonesia

Hrčak ID:

34381

URI

https://hrcak.srce.hr/34381

Publication date:

1.5.1998.

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