Design and Implementation of a Computerize Tax Collection and Management System
CHAPTER ONE
OBJECTIVES OF THE STUDY
This study is intended to design and develop a computerized e-tax system, a system that will allow all this bodies to pay their Tax from their location and pay consistently.
Specifically, other objective of this system is to develop a system that will provide:
- A registration, payment processing and tax filing facility for individuals and businesses.
- Provision for individuals and corporate bodies to request for their Tax Clearance Certificate (TCC) online.
- A Customs management system for its import, export and cross border activities.
- Electronic interfaces with the Gboko LGEA and the Companies and Intellectual Property Commission (CIPC).
CHAPTER TWO
LITERATURE REVIEW
This chapter deals with the journals conducting the research work and investigating the preparation of a computerized taxation system.
Tax
The legal definition and the economic definition of taxes differ in that economists do not regard many transfers to governments as taxes. For example, some transfers to the public sector are comparable to prices. Examples include tuition at public universities and fees for utilities provided by local governments. Governments also obtain resources by “creating” money and coins (for example, by printing bills and by minting coins), through voluntary gifts (for example, contributions to public universities and museums), by imposing penalties (such as traffic fines), by borrowing, and by confiscating wealth. From the view of economists, a tax is a non-penal, yet compulsory transfer of resources from the private to the public sector levied on a basis of predetermined criteria and without reference to specific benefit received.
In modern taxation systems, governments levy taxes in money; but in-kind and corvée taxation are characteristic of traditional or pre-capitalist states and their functional equivalents. The method of taxation and the government expenditure of taxes raised is often highly debated in politics and economics. Tax collection is performed by a government agency such as the Canada Revenue Agency, the Internal Revenue Service (IRS) in the United States, or Her Majesty’s Revenue and Customs (HMRC) in the United Kingdom. When taxes are not fully paid, the state may impose civil penalties (such as fines or forfeiture) or criminal penalties (such as incarceration) on the non-paying entity or individual
Tax is a financial charge or other levy imposed upon a taxpayer (an individual or legal entity) by a state or the functional equivalent of a state to fund various public expenditures. A failure to pay, or evasion of or resistance to taxation, is usually punishable by law. Taxes consist of direct or indirect taxes and may be paid in money or as its labour equivalent. Some countries impose almost no taxation at all, or a very low tax rate for a certain area of taxation.
Purposes and effects
The purpose of taxes is to raise revenue to fund government. Money provided by taxation has been used by states and their functional equivalents throughout history to carry out many functions. Some of these include expenditures on economic infrastructure (roads, public transportation, sanitation, legal systems, public safety, education,[4] health care systems), military, scientific research, culture and the arts, public works, distribution, data collection and dissemination, public insurance, and the operation of government itself.
When expenditures exceed tax revenue, a government accumulates debt. A portion of taxes may be used to service past debts. Governments also use taxes to fund welfare and public services. These services can include education systems, pensions for the elderly, unemployment benefits, and public transportation. Energy, water and waste management systems are also common public utilities.
CHAPTER THREE
SYSTEM ANALYSIS AND DESIGN
INTRODUCTION
According to Simon Bennett et al (2002), system analysis is defined as a process of secking to understand the organization, investigating its requirements and modeling then. System analysis can also be referred to as the study of a business problem domain to recommend improvements and specify the business refreshment for the solution. (Jeffrey .L Whitten et al 2001) it is the result of this analysis activity that gives the specifics join of what the proposed system will do based on the requirements. System analysis is the study of a system and its component as a prerequisite to system design.
It is a problem solving technlgue that decomposes a system into its component pieces for the purpose of studying have well those components work and interact together to accomplish their purpose. Contemporarily, system analysis is a term that collectively describes the early phases of system development. There are many approaches to system analysis and these include structured analysis, information engineering, discovery prototyping, and object oriented analysis for the purpose of this project, the object oriented analysis will be used for the system analysis and design. System analysis is a very important aspect of system development because during the phase several fundamental decisions are made. During the analysis the system owner and user are specified because the system analysis is driven by to business concerns of the system owners and user, system analysis also reveals what the system would do and it helps the stockholder know whether the proposed system is technically, economically and operationally feasible.
CHAPTER FOUR
SYSTEM IMPLEMENTATION
INTRODUCTION
Implementation is the process by which a system developed is utilized and made functional or the process of converting a new system design into operation. It is the delivery of the system into production. This is the phase where all the requirement analysis and system design is put to test to ensure effective delivery of the system.
(Ajav AT 2011) implementation is the final phase in the SD2C is the implementation phase, during which the system is actually built (or perched, in the cause of the packaged software design). This is the phase that usually gets the most attention, because for most system it is the longest and most expansive single part of the development process.
CHAPTER FIVE
SUMMARY, RECOMMENDATION AND CONCLUSION
SUMMARY
The E-Taxation system offers multiple solutions to both sides of the taxation system. The tax collector’s job is more effectively carried out as access to data required to determine the volume of taxes currently paid is readily available and can confidently estimate deficits. The tax organization is seen as more transparent and effective in carrying out its duties as it has records to support stated facts in its report. The tax payers in general are more receptive to taxation as the whole process is convenient and flexible. It doesn’t require visits to the tax office. Even the government as a whole would benefit from the implementation of this system as it would have the ability to properly prepare its budget based on expected income, since it has historical records and a database showing payments trends. The system can also be used by the government to measure the level of the public’s reception of changes in tax laws, rates and their responses to the changes.
RECOMMENDATIONS
The system meets desired expectations but would perform better if the following recommendations and suggestions are considered:
- The software is designed to accommodate the needs of its scope of study and as such implementation outside this scope could be limited. But bearing in mind possible implementation outside the defined scope of study, it was developed using Object Oriented Programming concepts and as such can easily be modified to accommodate the needs of implementation environment.
- The E-taxation system can also be interfaced with other governmental agencies and institution to furnish them with information that wouldn’t necessarily be available to them.
- The E-taxation system should be implemented in a secured server environment as it contains several important information about its users
- The E-taxation system can also be used by the government provide more accurate estimates about the income pattern of its citizens and their response to the implementation of new tax policies.
FUTURE RESEARCH
The software can be enhanced further to include multiple modules as its initial development system is in view of the future, for example its database can be interfaced with the database of other governmental institutions and they can have access to the information it provides. It can be employed for the purpose of research. Also it’s important to keep abreast of the latest software and network security protocol so as to properly secure the information of users. Biometric means of system access would also be highly beneficial as it would increase the user convenience.
CONCLUSION
The E-taxation is not a new system, but a rather local solution to a problem with global purview. This system looks at how tax payment can be encouraged through simplification and increased efficiency in payment processing. Individuals can depend on this platform to carry out their duties as citizens.
REFERENCES
- [1] Jeffrey L. whitten, Lonnie D. Bently and Kevin D. Dittman (2001). System Analysis and Design methods.
- New York, town / incgraw – hill. fifth edition. pp113, 479.2.
- [2] Simon Bennent, steve mc Robb and pay farmer (2002). Oriented systems Analysis and Design using UML maiden:mc graw – hill, second edition, pp301, 821.3
- [3] J.L Boocku dt (1999)
- [4] James A. hall (2006) Accounting information system transition processing and controls. United state of America, lrwin /mc graw – hill, pp 673-674.4.
- [5] David 4. Weaucer, Edward B. Bruner, James M. smiley and Virginia A. rose (1988). Accounting – systems and procedures. United state of America, mc Graw – hill, fifth edition,pp443-449.5
- [6] Gregory E. Anders Emmajo Spiegel bery and sally melson (2002). Micro computer Accounting – Tutorial and Applications. United state of America, Glencoe / mc Graw – hill, pp196 – 197.6.
