More effective taxation of the informal sector is an important long term goal, for reasons of equity and broader ‘tax morale’, to protect existing revenue bases, and to encourage formalisation in way that supports more rapid growth and, possibly, broader governance gains.
Our work in this area aims to build a body of detailed empirical evidence about the experiences of informal sector taxation in the developing world. The research will focus on two related questions.
- What are concrete strategies for improving informal sector taxation, focusing particularly on political dynamics and improving cooperation between central and local governments?
- How can informal sector taxes be implemented in ways that maximise equity, growth and governance benefits?
- What Have We Learned About Informal Taxation in sub-Saharan Africa? (Summary Brief)
- Taxing the Informal Economy: Challenges, Possibilities and Remaining Questions (Working Paper)
- Taxing the Informal Economy: Challenges, Possibilities and Remaining Questions (Research in Brief)
- Norms, Power and the Socially Embedded Realities of Market Taxation in Northern Ghana (Working Paper)
- Make informal businesses profitable, then seek taxes
- Give and you shall receive? Taxation and fiscal contracts in Africa
- Taxed to death (really)
Image: Aerial view of Monrovia, Liberia by United Nations Photo