Assessing the Effectiveness of Tanzania Customs Integrated System (Tancis) on Revenue Collection in Tanzania.

Abstract

The use of Information Communication and Technology in Customs operations has lead to rapid transformations. The traditional paper-based procedures are being eliminated in favour of electronic procedures that incorporate security elements and trade facilitation measures. This research sought to establish the effectiveness of Tanzania Customs Integrated System (TANCIS) in revenue collection in Tanzania. The study is guided by the following objectives; to establish the contribution of Tanzania customs integrated system (TANCIS) in revenue collection, to compare and contrast the trend of revenue collection before and after introduction of Tanzania customs integrated system (TANCIS) and to identify areas of improvement in Tanzania customs integrated system (TANCIS) in revenue collection. The research design is descriptive survey. Four TRA managers in charge of customs, clearing and forwarding agents, trucker drivers and Importer & exporters forms target population for the study. The study use Yamane (1967) sample determination formula to select 196 respondents who participate in the research. The TRA personnel automatically participated in the research while the other respondents are selected through systematic sampling method. The data collection instruments uses questionnaire and interview guide. The instruments are validated and tested for reliability prior to being taken to the field. Quantitative data collected from the field is analysed by utilising descriptive and inferential statistics. Qualitative data from interviews are analysed using document analysis. Respondents reaffirmed that introduction of TANCIS have improved revenue collection and time for clearance are minimized, also Development of various systems such as, Single Window system, Gepg system, ECTS introduced. TANCIS in Customs and Excise department collectively makes tax administration in TRA efficient and costs effective, reduces processing and clearance time of the goods, reach taxpayers in the remote areas and enhance convenience through online transactions, Online auctions hence lessening corruption by avoiding in person transactions. The study recommends that TRA should regularly update their software so as to facilitate effective and efficient cargo control. Also there is a necessity to further educate traders and TRA employees on ethics and accountability.