Awareness and compliance levels of informal traders with regards to their presumptive tax obligations: a case of Harare central business district informal traders

摘要

The study investigates the awareness and compliance of the informal sector traders in the Harare CBD with a specific objective of recommending policy. By administering an interview questionnaire to 50 respondents, the study finds out that most of the informal traders are not registered, transact in cash, are not knowledgeable about their presumptive tax obligation, do not file returns and there has been no follow ups by the revenue authority. The study therefore recommends more focus to be put on client education, follow ups and proper administration of statutes to bring the informal sector in the taxation mainstream.