The influence of industry sector growth on tax revenue collection in Tanzania
摘要
The purpose of this study was to investigate the effect of industry sector expansion on Tanzania’s tax revenue. The autoregressive distributed lag (ARDL) bounds testing approach was used to examine annual data from 1970 to 2018. The findings of this study indicate that industry sector growth influences the collection of tax revenue. In particular, the findings indicate that manufacturing sector expansion exerts a positive influence in the long run, although it has a negative effect in the short. The utility sector exerts a negative influence in the long run, whereas its influence is positive in the short run. Additionally, the construction industry exerts a detrimental influence in the short run. The mining industry demonstrated negligible influence. This study makes a valuable contribution to the existing body of literature by providing novel insights for understanding the influence of industry sector growth on tax revenue, specifically by exploring how the growth of industry subsectors affects tax revenue.