The practice and challenges of tax revenue audit in jimma zone revenue

Abstract

Abstract The purpose of this paper is to analyze the practice and challenges of tax revenue audit in Jimma zone revenue. The main objective of the study The generally objective of the study was to investigate the practice and challenges of tax revenue audit in jimma zone revenue authority. The Specific objectives includes To identify types of tax audit frequently used in the revenue authority ,To assess tax audit case selection techniques ,To evaluate the major challenges of tax audit practice in Jimma zone revenue authority and To evaluate the existing performance of tax audit program of Jimma zone .For this end, with the intention of getting the relevant information, this study considered only tax audit of the authority as population of the study. Since number of the population is very small, this study considered the whole tax auditors and top level of the management. The Tools of Data Collection , Questionnaires This method of data collection is used to collect the necessary information from the sample respondents. To do this, both openended and closed ended questionnaires were prepared and distributed to both employees and leaders of the organization.. Questionnaires are prepared in English language . However, if there is any confusion in the question during the data collection, the research gave more explanation to the question in person. To analyze the collected data descriptive statistics such as frequency and percentages were applied. From the data analysis, it was conducted compressive tax audit was performed tax audit type, The limited capacity of management and leadership, The commitment of leaders at JZRA on tax audit related issues, The standard time frame on the manual was not sufficient to perform and conclude complex cases And the problem of resources and facilitates for tax auditor. Lastly it is suggested that the authority should revise the time frame allocation and give more time for complex cases, should supply sufficient necessary audit materials for auditors to facilitate their work and provide suitable and free work environment.